Fed cuts rates for 3rd time

18/12/2024 Argaam
The Federal Reserveheadquarter

The Federal Reserve headquarter


The Federal Reserve reduced today, Dec. 18, the interest rate range by 25 basis points (bps), marking the third consecutive time, following rate cuts during the September meeting (50 bps) and the November meeting (25 bps).
 

In a statement, the US central bank said Federal Open Market Committee (FOMC) approved a reduction in the federal funds rate range to between 4.25% and 4.50%. This aligns with market expectations, which had anticipated a 25 basis-point cut.
 

With this move, policymakers have reduced the target rate range by a total of 100 basis points since the September meeting, which marked the end of the monetary tightening cycle that had been ongoing since March 2022 and also saw the first rate cut in over four years.
 

Following a two-day meeting, investors are now turning their attention to the upcoming press conference by Fed Chair Jerome Powell, seeking indications about the future of monetary policy amid speculation that the pace of rate cuts might slow to avoid a resurgence in inflation.

Comments {{getCommentCount()}}

Be the first to comment

loader Train
Sorry: the validity period has ended to comment on this news
Opinions expressed in the comments section do not reflect the views of Argaam. Abusive comments of any kind will be removed. Political or religious commentary will not be tolerated.