Federal Reserve cuts key rate by quarter-point and signals two more cuts this year
- The US Federal Reserve cut its benchmark interest rate by 0.25 percentage points on September 17, 2025, lowering the target range to 4.00%–4.25%.
- This first rate cut in 2025 followed earlier signals from Chair Jerome Powell in August about slowing economic growth and rising unemployment risks.
- The Fed noted that job gains have slowed, unemployment inched up, and inflation remains somewhat elevated amid ongoing tariff-driven price pressures.
- Adam Stockton advised consumers that deposit rates will likely decline but not disappear, saying "that scenario is probably not where we're headed," with top savings APYs around 4%.
- Following the cut, banks are expected to lower deposit rates, so savers should prioritize locking in high-yield accounts or CDs now before rates lessen further.
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The U.S. central bank reduces the cost of money by 25 basis points. And in 2025 two other interventions are planned. This is what tycoon has been asking for for months. Meanwhile, it is surprisingly improving the estimates of GDP: it will grow by 1,6%.The Federal Reserve has cut the rates by 0.25% bringing the bar between the...
Hassett calls Fed rate move 'prudent' despite Trump's call for steeper cuts
President Trump's top economic adviser praised the Federal Reserve on Thursday for making a "prudent" decision on interest rates, despite the president's calls for a much steeper rate cut. Kevin Hassett, director of the White House National Economic Council, backed the Fed's move to cut interest rates by 0.25 percentage points Wednesday after months of White House pressure and slowing job gains. “The bottom line is that moving kind of slow and s…
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