US Federal Reserve lowers rate as job market cools

The US Federal Reserve on Wednesday lowered its key benchmark rate by 25 basis points, as a cooling labour market prompted the US central bank to act.

The Fed lowered the federal funds rate to 4-4.25 per cent, marking the first rate cut since December last year.

Recommended For You

Parliament speaker says Iran ready to 'teach a lesson' if attacked

Trump says ceasefire is 'on massive life support'; vows victory over Iran

Trump rejects 'unacceptable' Iran response to peace plan; oil prices jump

Tehran could enrich uranium to weapons grade if attacked again: Iranian lawmaker

Trump rejects Iran peace terms; Tehran warns of new attacks

 

A quarter-point cut has been the prevailing expectation for weeks after readings of the job market turned decidedly soft as the summer progressed.

Stay up to date with the latest news. Follow KT on WhatsApp Channels.

Concerns about the central bank’s independence seem to have eased a little, with economic adviser Stephen Miran sworn in as a Fed Governor on Tuesday and an appeals court rejecting US President Donald Trump’s attempt to sack Governor Lisa Cook.

Written by

Somshankar Bandyopadhyay Associate Editor

• 

Associate Editor Somshankar Bandyopadhyay brings more than three decades of experience to the KT newsroom. Currently, he manages the news production of the business section, ensuring that the top economic and business news of the day reaches its readers.