The US central bank has cut interest rates by more than expected in its first reduction in over four years.
The Federal Reserve said it would lower the target for its key lending rate by 0.5 percentage points, to the range of 4.75%-5%.
The widely expected cut is bigger than many analysts had predicted just a week ago, and comes as officials have noted increasing concern about rising unemployment rates.
The move will bring relief to borrowers across the US, who have been contending with interest rates hovering at the highest levels in more than two decades.
Officials signalled that further cuts were likely to follow before the end of the year.
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50 Comments
Golda Knolls
Fake news – in over four years! FED cut rates in 2019 and 2020 so it's not four years.
when i the uk going to follow suit its crippling exports and home owners with mortgage's
it’s a strange definition of "borrowing" when the money being lent never existed in the first place. In a traditional sense, borrowing implies that something tangible is being lent and must be repaid. But in the case of central banks, the money they "lend" is created from nothing, essentially out of thin air.
It's like someone asking to borrow your car, which you don’t even own, and then you magically conjure one up for them to use, expecting repayment for something that didn't exist until you created it. The concept of a loan in this scenario becomes an illusion, as there was no real asset or money to begin with—just an agreement to recognize newly created monetary units.
The legal framework allows this by labeling it as "credit creation," but it’s fundamentally different from real borrowing. It’s a manipulation of trust, where the debt is based on an expectation of future repayment with real value, yet the original "loan" was never backed by anything of substance. It’s an elaborate game where the rules are bent to serve the interests of those creating the money, while leaving everyone else to bear the consequences of inflation and devaluation.
Interesting and why now?. Democrats will do everything to win the election. By the way it’s too late now. Corrupt system. We’re not dumb.
Honestly, this situation makes me uncomfortable, especially with the Fed cutting interest rates by 50 basis points. It signals deeper economic concerns, and I'm uncertain about my $130K investment strategy, given the possibility of not just a recession but perhaps even a depression.
Sanrio also increased all salary and promotions of titles.
Dear Europeans wake up before you lose your country your media and your government is replacing you.
Hillary clinton and her husband went to south America and told and gave the people documents on how to come to America and get free money free Healthcare and free schooling on the tax payers dime which in itself is a criminal act. But no one has the balls to prosecute her. She belong in jail as for our media I would trust Saddam hussein more.
Ronald Reagan once said government isn't the solution but the problem. Same goes for the media who is in bed with the government.
The Biden and Harris administration has been the worst thing that has ever happened to America. People never let a liberal take over your country its a certain death sentence.
So the strong economy and job market isn't strong anymore? Someone's lying.
30 year yield curve un-inverted in July,2-10 in Sept and 3 month will in Nov.Markets will pump to 50K peaking out in Jan/Feb 2025 and then we are going to a 50 percent drop or more bottoming out Sept.2026.Charts don’t lie.We have a major recession coming.
If Biden and Harris economy are doing so great, why did they choose to do this?
JB KH, this no way a political move on our part. LOL
Finallllllllllllllllllllllllllllllllllllllllllllly
bbc gets large cut of money
Total desperation as the US economy collapses.
The truth is the opposite of what you are hearing from the media which is owned by the same people who own the federal reserve.
Of course they have, right in time for the crypto Bull Run, as always.
50bps? Uh, yeah. This won't send inflation skyrocketing, no really!
Could've avoided this altogether if the Government just did it's job and locked up the orange haired felon.
Still, this pretty much secures the Dems election. Probably won't hurt COLA increases none, either.
Election time
Gotta try and look good before the election.. a little late.
Brics is going to slow it down further
Bureaucrats shouldn’t be controlling the economy in the first place.
Might be a message Russia just hiked to 19%
*Gladly!
The US economy is likely to decline, and the Federal Reserve has not withstood the pressure
Hello inflation
Now USD inflation will get worse.
If only year was an election year!
recession is upon us !!!
Defund the bbc.
Yes, yes , yes
What? No Israeli bots in here?
Thank God! We're paying almost 1000 dollars as the mortgage interest to the bank weekly.
PRESIDENT TRUMP IS ON A MISSION FROM GOD! GOD BLESS US ALL!
PRESIDENT TRUMP WILL BRING BACK WORLD PEACE! HELP US!
PRESIDENT TRUMP WILL STOP ALL THE WARS! RESCUE HOSTAGES!
PRESIDENT TRUMP WILL MAKE AMERICA RESPECTED AGAIN!
Another significant move would be to quit handing out our tax dollars out to everyone but those who pay their taxes…
Central banking is a scam. Westerns should run bank days and cash out their savings before governments and greedy bankers steal it all.
So why are prices still going up.
The beginning of the end for the US Dollar 💵🧻💵🧻💵🧻🎉🎉🎉🎉
Gold will continue to rise, the price will double. A rate cut, leading to an increase in the price of the yellow metal and a decline in the dollar.
I expect the price of gold to double in this decade, says Pavel Ryba, Golden Gate analyst.
Today's reduction in interest rates, which traditionally leads to an increase in the price of the yellow metal.
Interest rates are expected to decline over the long term, which is very positive for gold. In this decade, gold will push all-time highs to record highs, the price may more than double.
Reason:
National debts, inflation, tariffs, interest rate cuts and massive armaments.
The first is that national debts are not under control, they will increase rather than decrease in the future. We can see it on the example of the USA, where it still fails to reduce the debts and even thanks to massive armaments, which will continue for a long time, debt reduction is unrealistic.
Another reason for the increase in the price of gold is the reduction of rates and the fact that further reductions in interest rates are expected by the end of the year.
Cla stim and the price goes up.
For decades we benefited from cheap labor in Asia and South America, now that is changing. Part of the production is returning to the European continent and North America, which will again lead to an increase in costs and thus prices.
And more expensive energy as a basic input to industry will lead to higher prices in the economy.
Investment gold is not subject to VAT, which makes the investment even more expensive.
Camila is responsible/Harris is responsible for millions of women and children being trafficked across the border/look at your bank accounts when Trump was in office compared to now
Wow if you got in to crypto were about to be rich
Fun fact, the American education system intentionally hides the existence or function of the Federal Reserves
I have about seven credit cards. This will probably help me a lot.
Hmmmm 50 point interest rate cut right before a presidential election
Nothing like the federal reserve trying to influence the election
A big cut is bearish not bullish.
The FED hoped to stave a cut off before November and held on for as long as they could, but they couldn't because they knew…
They knew.
Federal Reserve is trying to stave off further recession, incent personal spending, not to mention the Federal election.
Thhey are only cutting rate to try and pick up DemocRATic votes, if they win they will go right back up. VOTE TRUMP