Fed Cuts Interest Rate for Second Time This Year

Fed Cuts Interest Rate for Second Time This Year

The Federal Reserve Board cut interest rates yesterday by a quarter of a percent, the second cut this year. The vote was unanimous, unlike the September rate cut. While inflation remains above the Feds target rate of 2%, the board believes that inflation has slowed enough for the rate decrease despite current jobs numbers. This means that the cost to borrow will go down, as well as investment returns.

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