The Federal Reserve announced its second interest rate cut of the year on Wednesday, reducing the benchmark rate by a
The Federal Reserve announced its second interest rate cut of the year on Wednesday, reducing the benchmark rate by a quarter-point to lower the target range to 3.75%-4.00%.
The decision, made by the Federal Open Market Committee (FOMC) after a two-day meeting, follows a quarter-point reduction in September. The move comes amid softer labor market conditions and a federal government shutdown that has stalled most economic data releases.
“Falling interest rates will help America’s small businesses access the credit they need to capitalize on the strong economic momentum created by President Trump and Congressional Republicans’ pro-growth policies,” Job Creators Network CEO Alfredo Ortiz told the Daily Caller News Foundation.
“With inflation tamed, gas prices at their lowest level in years, record stock market highs, and the Big Beautiful Bill’s tax cuts fueling expansion, the economy is well-positioned for continued growth,” Ortiz added. “This rate cut will empower small businesses to expand, hire, invest, and drive America’s economic resurgence to even greater heights.”
The cut comes against a backdrop of weakening jobs data. The most recent available report, for August, showed just 22,000 jobs added, while Bureau of Labor Statistics revisions revealed 911,000 fewer jobs created over the prior year than previously estimated.
The September employment report, typically released in early October, remains unpublished due to the shutdown. The only major data point issued since the impasse began was Friday’s Consumer Price Index, which showed annual inflation rising 3% in September, below forecasts.
Fed Chair Jerome Powell, speaking on Oct.
