Fed rate cut: The Federal Reserve announced

The Federal Reserve announced a rate cut in September 2024. Learn what a Fed rate cut is, why it happens, and how it impacts the economy and markets. The Federal Reserve on Wednesday approved its second straight interest rate cut , though Chair Jerome Powell rattled markets when he threw doubt on whether another reduction is coming in December. The Federal Reserve was widely expected to announce at least a quarter-point cut on Wednesday, signaling lower borrowing costs for American households and businesses. The Federal Reserve was widely expected to lower interest rates by a quarter point in order to support the waning job market.