Big decision of US Fed, reduced interest rates again |Rate Cut| Money Live | US Fed’s big decision, interest rates reduced again |Rate Cut

Central Bank Federal Reserve has once again cut the interest rates. This time the Fed has reduced its key lending rate by 0.25 percentage points, due to which the new range has been fixed from 3.75% to 4%. This decision has come at a time when the threat of inflation has reduced somewhat, but the slowdown in the labor market remains a cause for concern. Interestingly, this decision comes during the US Government Shutdown, which has been going on for over a month, with official economic data not being available. In such a situation, the Fed has to depend on private data sources and alternative reports. The US economy lost nearly 32,000 jobs in September, indicating an economic recession. On the other hand, Trump Administration’s Tariffs have again fueled the fear of inflation. Now politics has also become heated – Donald Trump has indicated that he may announce a new Chair in place of Fed Chair Jerome Powell by the end of this year, while Powell’s term is to end in May next year.