The US Federal Reserve has cut interest rates by 0.25 percentage points. The range of key interest rates will be reduced to 4.25 to 4.50 percent, as the Fed announced in Washington on Wednesday. Bank economists largely expected this decision.
In September, the US Federal Reserve heralded the turnaround in interest rates after the major inflation wave with a significant interest rate cut of 0.50 point. A smaller interest rate increase of 0.25 percentage points followed in November.
The Fed has cut rates even as inflation has risen slightly recently. In November, inflation rose to 2.7 percent from 2.6 percent the previous month. In 2022 this was sometimes more than nine percent. Interest rates currently remain above the Fed’s inflation target of two percent.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
