Federal Reserve Lowers Interest Rate Again

The Federal Reserve has cut the key interest rate by 25 basis points to a range of 4.50%-4.75%, following the uncertainty surrounding President-elect Donald Trump's economic policies, which may include tariffs and tax cuts. This decision comes amid a mixed economic outlook, where unemployment remains low, and inflation pressures are being monitored closely. Fed officials express cautious optimism as recent data shows improved labor market conditions and productivity growth. However, the potential for inflation due to Trump's proposed measures raises concerns for future monetary policy. Market expectations suggest a possibility of another rate cut in December, but uncertainties around Trump's policies complicate predictions. Overall, the Fed is poised to adapt its strategy based on incoming economic data and the evolving political landscape.