FED Chair Jerome Powell Speaks Following Interest Rate Decision – LIVE

The Fed lowered its policy rate by 25 basis points to a range of 3.75%-4.00%. This decision marked the second consecutive rate cut, in line with expectations. However, two FOMC members voted against the decision, signaling a deepening divide within the ￰0￱ are the key highlights from Powell's speech: Current data suggest the outlook has not changed ￰1￱ labor market appears to be gradually cooling ￰2￱ levels remain slightly ￰3￱ data show the economy growing ￰4￱ before the government shutdown suggested the economy might be on a more robust ￰5￱ data shows that layoffs and hiring remain low. A government shutdown will temporarily slow economic ￰6￱ risks to employment appear to have ￰7￱ expectations have risen ￰8￱ long-term inflation expectations are in line with the ￰9￱ customs duties increase the prices of some ￰10￱ a reasonable baseline scenario, the impact of tariffs on inflation would be ￰11￱ need to manage the risk of long-term ￰12￱ is our responsibility to ensure that it does not become a persistent ￰13￱ balance of risks has ￰14￱ is no risk-free path to ￰15￱ are fully prepared to respond quickly to economic ￰16￱ were serious disagreements at the meeting about how to proceed (on policy).

Another interest rate cut in December is not ￰17￱ Fed's interest rate cut is “another step toward a more neutral policy stance.” Pressures in the money market require urgent adjustments to balance sheet ￰18￱ marks the next phase of the balance sheet process, which will remain stable in the short ￰19￱ reinvestment strategy will bring the weighted average maturity closer to the outstanding stock of ￰20￱ are “clear signs” that quantitative tightening should be ￰21￱ need to consider the uncertainty surrounding the December interest rate ￰22￱ Fed has not yet made a decision about its December ￰23￱ same risk management logic applies to today's interest rate ￰24￱ “different picture” in the labor market justifies the recent interest rate ￰25￱ October rate cut follows the same risk management logic as the September rate ￰26￱ situation will be different in the ￰27￱ cannot address both employment and inflation risks with a single ￰28￱ market liquidity has tightened over the past three ￰29￱ bank reserves are only slightly above ￰30￱ to shrink the balance sheet will not be very ￰31￱ unemployment claims data suggest that things are progressing ￰32￱ data show that the labor market is stabilizing or strengthening, this will help inform policy ￰33￱ data shows an improvement in the labor market, this will influence policy ￰34￱ there are significant changes in the economy, I think we will take that into ￰35￱ the degree of uncertainty is high, this may be a reason to act cautiously.

Today's rate cut has strong and definitive support. I don't know what data will be released before the December Federal Open Market Committee ￰36￱ crux of the debate lies in the ￰37￱ CPI trend is slightly below ￰38￱ prices are pushing up inflation, but the decline in residential services inflation is good ￰39￱ personal consumption expenditures, excluding customs duties, are likely to be around 2.3% or 2.4%. Inflation, excluding customs duties, is not far from the 2% ￰40￱ conversation continues and you can get the latest information by refreshing the ￰41￱ City Fed President Jeffrey Schmid voted to maintain the current rate level, stating that a rate cut was ￰42￱ member Stephen Miran argued for a more aggressive 50 basis point ￰43￱ FOMC also announced that the Fed will end its quantitative tightening of its balance sheet as of December ￰44￱ Fed is currently reducing Treasury bond holdings by $5 billion per month and mortgage-backed securities (MBS) by $35 ￰45￱ this date, the principal from MBS redemptions will be reinvested in short-term Treasury ￰46￱ News: HOT MOMENTS: FOMC Statement Released Following FED Interest Rate Decision, Contains Crucial Details The decision stated that current indicators indicate that economic activity continues to expand at a moderate ￰47￱ emphasized that employment growth slowed during the year, while the unemployment rate, while slightly increasing, remained ￰48￱ also noted that inflation has risen since the beginning of the year but remains above ￰49￱ Committee reiterated its commitment to maintaining its long-term target of maximum employment and 2% inflation.

However, it noted that uncertainties surrounding the economic outlook remain high and downside risks to employment have increased in recent months. *This is not investment ￰50￱ Reading: FED Chair Jerome Powell Speaks Following Interest Rate Decision – LIVE