Fed cuts rates 50 basis points as inflation outlook keeps improving
Policymakers see the Bank’s benchmark rate falling by another half a percentage point by the end of the year and a percentage point in 2025
Washington — The US Federal Reserve cut interest rates by half of a percentage point on Wednesday, kicking off what is expected to be a steady easing of monetary policy with a larger-than-usual reduction in borrowing costs that followed growing unease about the health of the job market.
“The committee has gained greater confidence that inflation is moving sustainably towards 2%, and judges that the risks to achieving its employment and inflation goals are roughly in balance,” policymakers on the US central bank’s rate-setting committee said in their latest statement, which drew dissent from governor Michelle Bowman who favoured only a quarter-percentage-point cut...
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