Federal Reserve cuts interest rates for 1st time this year

Business Sep 19, 2025

The Federal Reserve just lowered its main interest rate by 0.25%, marking its first cut of the year.
The move is meant to give a boost to a slowing job market, even though inflation is still stubbornly high.

Fed takes cautious approach amid Trump pressure

This rate cut could make loans and credit a bit cheaper for everyone—from car buyers to small business owners—at a time when finding or keeping jobs feels tougher.
Fed Chair Jerome Powell noted there's a "two-sided risk" between slow job growth and high prices, so the Fed is trying to balance both sides.
While President Trump wanted bigger cuts, most Fed officials chose caution, aiming for stability as they watch how things play out through the rest of 2025.