On Wednesday, Dec. 10, the U.S. Federal Reserve cut its benchmark interest rate by 25 basis points — the third straight cut since September and the sixth since the easing cycle began in September 2024. But Fed officials made it clear that further reductions won’t come easy 🚧.
Why it matters: Lower borrowing costs, from mortgages to student loans, help fuel spending and investment. Yet the Fed is watching inflation data and economic signals closely before greenlighting more cuts 🛒📉.
What to watch next:
- Inflation readings: Are prices cooling off?
- Job market updates: Will hiring stay strong?
- Fed commentary: Will officials stick to a cautious stance?
For students, entrepreneurs, and global citizens alike, these decisions shape everything from loan rates to startup funding. Stay tuned as markets digest this move and investors weigh the odds of more cuts in 2026 😉.
Reference(s):
U.S. Fed cuts interest rates again, signals higher bar ahead
cgtn.com
