Federal Reserve's Interest Rate Decision

The Federal Reserve announced a 25 basis point cut to its benchmark interest rate, bringing it to a target range of 4.5% to 4.75%. This unanimous decision comes with a slight change in their statements about inflation, indicating that while progress has been made, inflation remains somewhat elevated. The Fed suggests that it will continue to assess economic conditions, emphasizing that risks to employment and inflation goals are roughly balanced. Policymakers are cautious and open to further adjustments to the rate but have provided no concrete guidance beyond this meeting.