<\/p>\n
The US Federal Reserve decided, during its meeting, which concluded moments ago today, Wednesday, September 17, to cut interest rates by 25 basis points to 4.25%, as expected. This is the first cut this year, with all members voting with the exception of Stephen Miller, who favored a 50 basis point cut.
\nThe bank’s members raised their economic growth forecasts for the current year. Members now see growth at 1.6% this year, up from 1.4% in the June forecast, and at 1.8% next year, up from 1.6% in the June forecast. They also raised the forecast for 2027 to 1.9% from 1.8%. PCE inflation forecasts came in at 3% this year, unchanged from the June estimate, and were raised to 2.6% next year from 2.4%. The 2027 forecast was maintained at 2.1%. Conversely, core inflation forecasts remained unchanged at the same June estimate, at 3.1% this year, 2.6% next year from 2.4%, and 2.1% in 2027.
\nIn the dot plot report, nine Fed members expected three interest rate cuts, six members expected one rate cut this year, and one member expected no reduction. The median forecast indicated one additional cut next year.
\nThe statement indicated that the committee will continue to monitor incoming economic forecasts and is prepared to adjust monetary policy stance as necessary.
\nIn less than half an hour, markets are awaiting Federal Reserve Chairman Jerome Powell’s press conference and his response to reporters’ questions.<\/p>\n
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The US Federal Reserve decided, during its meeting, which concluded moments ago today, Wednesday, September 17, to cut interest rates by 25 basis points to 4.25%, as expected. This is the first cut this year, with all members voting with the exception of Stephen Miller, who favored a 50 basis point cut. The bank’s members […]<\/p>\n","protected":false},"author":1,"featured_media":3253,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"nf_dc_page":"","footnotes":""},"categories":[1],"tags":[],"class_list":["post-8371","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-currency-markets"],"acf":[],"yoast_head":"\n