Fed Cuts Rates, Signals Slower Pace for Future Reductions

The Federal Reserve cut interest rates by 0.25 percentage points to a range of 4.25% to 4.5%, marking its third consecutive rate reduction in 2024. However, Fed Chair Jerome Powell signaled a more cautious approach to future cuts, indicating fewer reductions in 2025. This announcement led to a market reaction, with stock prices falling and Treasury yields surging. The Fed’s decision reflects its ongoing efforts to balance economic growth with inflation control.



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