America’s central bank announced its first rate cut of 2025.
The Federal Reserve opted to cut rates by a quarter-percentage-point on Wednesday, in alignment with expectations. Economic projections show Fed members have penciled-in two more rate cuts this year — one more than previously planned.
The meeting follows several monthly reports showing soft job growth, a slow rise in unemployment, and inflation numbers creeping back up. President Donald Trump, meanwhile, has put Fed Chair Jerome Powell in the hot seat, repeatedly calling for a rate cut and criticizing the central bank’s leadership. Powell maintained that his decision-making will be solely based on the Fed’s dual mandate of maximum employment and stable prices.
The Fed Committee said Wednesday that, even with a rate cut,
What the Fed interest rate cut means for mortgages
