The NPR Politics Podcast Federal Reserve Lowers Rates, But Less Than Trump Wants
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Sep 19, 2025 
In this discussion, Maria Aspan, NPR's financial correspondent, dives into the recent quarter-point interest rate cut by the Federal Reserve. She explains the delicate balance the Fed must maintain between inflation and employment. The conversation also touches on President Trump’s push to remove Fed Governor Lisa Cook and the implications of politicizing the Fed, citing examples from Argentina and Turkey. Aspan's insights paint a vivid picture of the current economic landscape and its political pressures.
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Economy Showing New Warning Signs
- The economy still looks broadly healthy but fresh warning signs have appeared, especially in hiring and inflation.
- Maria Aspan says revisions and policy moves mean the jobs picture is weaker than previously thought.
Fed's Small Cut, Bigger Risks Noted
- The Fed cut rates by a quarter point and signaled more cuts might come, but the move was modest.
- Maria Aspan notes the Fed acknowledged rising downside risks to employment in its statement.
Fed's Dual Mandate Explained
- The Fed uses interest rates to balance fighting inflation and supporting jobs, but the tool pulls in opposite directions.
- Maria Aspan explains higher rates damp demand while lower rates encourage hiring and investment.