Core Viewpoint - The Federal Reserve's decision to cut rates is viewed as a mistake, with inflation remaining significantly above the target, necessitating higher rates instead [2][3][5]. Group 1: Federal Reserve's Actions - The Fed is perceived to have stopped hiking rates prematurely, which is considered a misstep [2][3]. - The current inflation rate is at least 50% above the Fed's target, indicating a need for higher interest rates [2]. - The Fed's balance sheet remains at $6.7 trillion, which is significantly larger than the $4 trillion at the end of QE3, suggesting ongoing debt monetization [4]. Group 2: Market Reactions - The market reacted negatively to the Fed's rate cut, with a notable flattening of the yield curve, particularly in the two-year and ten-year bonds [7][9]. - Long-term interest rates are expected to rise following the rate cut, as the bond market does not believe inflation will return to the 2% target [14][15]. - The price of gold is projected to increase significantly due to the anticipated decline in the dollar's value and the Fed's easing stance on inflation [13][16]. Group 3: Future Expectations - There is speculation that the December rate cut may be the last for a while, as dissenting opinions within the Fed indicate a shift in future policy [8][12]. - The end of quantitative tightening (QT) is seen as a precursor to a potential return to quantitative easing (QE) [16].

GM with good news🟢FED LOWERS RATES BY 25BPS TO 3.75-4% 📈 https://t.co/KqXvMAAISf ...

🇺🇸 UPDATE: The Fed cut rates by 25 bps to 3.75–4%, but analysts say the move was already priced in and FOMC members remain split on a December cut. https://t.co/8Bx7N98DBh ...

Monetary Policy - The European Central Bank is expected to maintain interest rates steady for the third consecutive meeting [1] - The ECB is awaiting year-end projections to better assess the impact of trade tensions and France's fiscal situation [1]

Big decision from the Federal Reserve just down the block. They cut interest rates by another quarter point. This is their second interest rate cut of the year.It suggests that the Fed could be on this tipping point as they try to figure out where is this economy. You have this combination of inflation which could have the risk of going higher because of the tariffs while the labor market is weakening a little bit. Uh the Fed chairman saying in this type of environment, you're also uh adding on to there the ...

Major U.S. equites indexes climbed to fresh records Wednesday afternoon ahead of a Federal Reserve decision on interest rates. https://t.co/SNzFXMNtdt ...

Market Performance - Nasdaq closed in the green, while the S&P was nearly unchanged and the Dow was down more than 70 points [1] - Nvidia became the first company to hit a $5 trillion valuation, up nearly 15% in the last five trading sessions [1] - Adidas shares dropped more than 10% due to weak sales in North America [1] - Gold settled back above $4,000 but pulled back in the last few hours [1] Federal Reserve (The Fed) Actions and Stance - The Fed cut interest rates by a quarter point, bringing the new range to 375 to 4% [4] - Fed Chair Powell signaled a more neutral stance on a December rate cut, disappointing markets [4] - Traders are pricing in a 30+% chance that rates will remain unchanged at the central bank's final meeting of 2025 [3] - The probability of a rate cut in January rose from 42% to 80% after the press conference [5] - Two descents occurred during the vote: one wanted a 50 basis point rate cut, and the other favored no rate change [7] Economic Indicators and Concerns - The Fed noted reasonably strong economic growth and a booming stock market [6] - The Fed is assessing whether it has taken out enough insurance against a potential weakening in the job market [9] - Inflation is still high, and core PCE is going up [15] - The market may be overly optimistic about future rate cuts, as the Fed indicated that unless data weakens meaningfully, they are not cutting in December [14]

The Federal Reserve just cut interest rates by a quarter point. So, what does that mean for your money. I'm Sharon Eperson, senior personal finance correspondent at CNBC and the author of the Money 101 newsletter.Now, taking a quick look at the Fed funds rate, we're now seeing it in a range between 3 and 3/4 and 4%. That is not the rate that consumers pay, but it's the rate that consumers need to pay attention to for their borrowing costs and savings rates. Variable rate loans, they're going to get hit firs ...

Federal Reserve Actions - The Federal Reserve reduced interest rates by 25 basis points following the October FOMC meeting [1] Market Implications - The report analyzes the reasons behind the rate cut decision and its implications for the markets [1] - The report provides an outlook for future rate cuts [1] Resources - Yahoo Finance offers free stock ticker data, up-to-date news, and portfolio management resources [1] - Yahoo Finance provides comprehensive market data and advanced tools [1]

Some Thoughts on Today’s Fed Decision https://t.co/5kof21T9KM ...