The Federal Reserve recently reduced the main interest rate by a quarter point to a range of 3.75% to 4%, marking the second cut this year due to labor market softness. Fed Chair Jerome Powell noted differing opinions among members about future rate decisions, emphasizing that a December reduction is not guaranteed. He highlighted ongoing challenges, including inflation risk and labor market uncertainties compounded by external factors like tariffs and AI impacts. Powell indicated that the Fed is carefully monitoring these developments while navigating its dual mandate of inflation control and employment maximization.

Source: https://www.supplychaindive.com/news/fed-trims-main-rate-quarter-point-jerome-powell/804203/