US Fed Slashes Interest Rates by 50bps: Jerome Powell's FOMC Statement Decoded
US Federal Reserve's monetary policy update
Image: Twitter/@federalreserve
Get the latest updates on the US Federal Reserve's interest rate cut. Read Jerome Powell's full monetary policy statement and understand its implications.
In a move to bolster the US economy, the Federal Open Market Committee (FOMC) has announced a 50 basis points (bps) cut in interest rates. This decision, led by Chairman Jerome Powell, aims to mitigate the economic impact of the COVID-19 pandemic and global economic uncertainty.
*Key Highlights:*
1. 50bps interest rate cut to 1.00%-1.25%
2. Federal funds rate reduced to 1.05%
3. $700 billion quantitative easing program announced
*Jerome Powell's Statement:*
"The Committee will continue to monitor the implications of incoming information for the economic outlook and will use its tools and act as appropriate to support the economy."
*Implications:*
1. Boost to economic growth
2. Increased consumer spending
3. Support for financial markets
4. Potential impact on inflation
*Expert Insights:*
1. "The rate cut signals the Fed's commitment to supporting the economy." - Economist
2. "This move will provide relief to businesses and consumers." - Market Analyst
