U.S. Federal Reserve Makes First Rate Cut Since 2024 📉
In a move that’s got everyone from Wall Street to TikTok talking, the U.S. Federal Reserve just cut interest rates by 0.25%—the first drop since December 2024. The new target range? 4% to 4.25%, a shift the Fed says aims to balance slowing job growth and stubborn inflation. 🏦
Why now? The Fed’s policy committee pointed to 'moderating' economic activity and a slight uptick in unemployment (though it’s still low). Inflation remains above their 2% target, but officials are betting this cut will keep the economy from stalling. 💼
Drama Behind the Decision 🍿
Not everyone agreed: Newly appointed Fed member Stephen Miran pushed for a bigger 0.5% cut, while others stuck to the script. The vote came just days after political fireworks—a court blocked ex-President Trump’s attempt to remove Fed Governor Lisa Cook, and Miran narrowly won Senate confirmation after a partisan showdown. 🎢
What’s Next? 🔮
The Fed’s crystal ball predicts GDP growth inching up to 1.9% by 2027, with unemployment dipping slightly. For young investors and entrepreneurs, this could mean cheaper loans and a nudge for markets—but keep an eye on inflation! 📈
