Core Points - The Federal Reserve lowered its benchmark interest rate by 0.25 percentage points and indicated two more reductions are expected this year due to pressure from the White House [1] - Chair Jerome Powell cited signs of weakness in the labor market as a reason for the rate cut, noting that job creation is below the break-even rate needed to maintain the unemployment rate [2] - The Federal Open Market Committee voted 11-1 to adjust the federal funds rate target range to 4%-4.25%, after maintaining rates steady for five consecutive meetings [3] Decision Dynamics - Governor Stephen Miran, who favored a larger half-point cut, was the only dissenting vote, highlighting a notable victory for Powell amid expectations of multiple dissents [4] - The committee's decision reflects a unified approach despite external pressures, with Powell emphasizing the need to manage inflation risks stemming from tariffs [5] - Powell described the Fed's future rate decisions as being made on a "meeting-by-meeting" basis, indicating a cautious outlook [6]

Group 1 - Oil prices eased after a three-day advance, with Brent around $68 a barrel following a 3.2% gain in previous sessions, as traders assess the impact of Ukrainian attacks on Russian energy infrastructure and an upcoming Federal Reserve interest rate decision [1][3] - The recent oil price gains have not been sufficient to break out of the $5 band it has been in for most of the past month and a half, influenced by geopolitical tensions and bearish fundamentals [2] - OPEC+ supply is expected to increase, raising predictions of a potential glut later in the year, while rising oil tanker earnings indicate higher output [2] Group 2 - The Federal Reserve is expected to announce a quarter-point interest rate cut, with the market also pricing in three additional cuts by April [3][4] - A recent industry report indicated a decline in U.S. crude inventories by 3.4 million barrels last week, which would mark the largest drop in a month if confirmed by official data [4] - Brent's second-month implied volatility has decreased, reaching its lowest level in over three weeks, as prices remain within a narrow range since early August [5]

Shares of Nvidia extended its downward trajectory on Wednesday after the US Federal Reserve lowered the benchmark interest rate. The economic event did not help arrest the slide in Nvidia as the S&P 500 fell after posting slight gains after the Fed's decision. ...

The Federal Reserve cut interest rates today by 25 basis points (bps), following months of speculation about inflation, politics, and economic data. The move will likely boost markets' confidence and ... ...

Bob Michele, JPMorgan Asset Management global head of fixed income, reacts to the decision by the Federal Reserve's policy-setting Federal Open Market Committee to lower the benchmark interest rate by a quarter percentage point. ...

Group 1 - The Federal Reserve's decision to lower benchmark interest rates to a range of 4% to 4.25% has positively impacted the auto industry, leading to increased share prices for major car manufacturers [1] - General Motors and Ford Motor shares rose by 1.7% and 2% respectively following the Fed's announcement, indicating a favorable market response to the rate cut [1] - Lower interest rates are expected to stimulate new car sales, benefiting the automotive sector overall [1] Group 2 - Tesla stock experienced a slight decline of 0.1% after previously rising for six consecutive sessions, during which it gained approximately 22% [2]

Core Points - The Federal Reserve announced a 25-basis-point interest rate cut, marking the first reduction of the year, bringing the federal funds rate to a range of 4% to 4.25% [1] - The decision follows a period of economic uncertainty, with the Fed having kept rates unchanged during its first five meetings of the year [1] - Policymakers are facing challenges in balancing maximum employment and stable prices, with inflation remaining elevated despite a slowdown in hiring [2][3] Economic Data Monitoring - Economic data indicates a slowdown in hiring as businesses adjust to changes in trade and immigration policies, while inflation has trended higher due to tariff-related price increases [2] - The Federal Open Market Committee (FOMC) noted that job gains have slowed and the unemployment rate has risen, although it remains relatively low [3] Policy Decisions and Dissent - The FOMC's vote on the rate cut was 11-1, with only Fed Governor Jeffrey Miran dissenting in favor of a larger 50-basis-point cut [5] - Federal Reserve Chair Jerome Powell indicated that the focus will be on addressing whichever economic indicator—inflation or labor market—strays further from the targets [5] Political Pressure - The Federal Reserve has faced pressure from the Trump administration to cut interest rates, with President Trump previously threatening to fire Chair Powell [6] - Trump is also attempting to remove Fed Governor Lisa Cook over unproven allegations, which has been temporarily blocked by a court ruling [9] Leadership Changes - The FOMC meeting included a new member, Stephen Miran, who was confirmed to fill a vacancy following the resignation of former Fed Governor Adriana Kugler [10]

Federal Reserve Chair Jerome Powell is set to speak with reporters following the central bank's decision to deliver the first interest rate cut of 2025. Policymakers lowered rates by a quarter percentage point, bringing its benchmark interest rate to a range of 4%-4.25%. In the weeks leading up to the decision, analysts had been confident a rate cut was coming considering a slew of data pointing to a slowdown in the labor market. Most traders had expected the 25 basis point cut rather than a deeper reduct ...

By Sabrina Escobar CONCLUDED Fed Cuts Rates by a Quarter Point, as Expected, and Sees 2 More Cuts This Year Last Updated: 4 hours ago Miran Was the Sole Dissent, Opting for a Larger Cut Cryptocurrencies Data Magazine Markets Stock Picks Barron's Live Roundtable Barron's Stock Screen Personal Finance Streetwise Advisor Directory Stephen Miran earlier this month. (Getty Images) Newly installed Fed governor Miran was the only member of the Federal Open Market Comittee to vote against the decision to cut intere ...

Group 1: Market Reactions to Trade Deals - President Trump confirmed a deal with China allowing TikTok to continue operating in the US, leading to a 1.5% increase in Oracle's shares and a 5% jump in premarket trading [2] - India's textile sector saw significant gains, with Gokaldas Exports' shares rising 5.15% and Welspun Living's shares increasing by 3.46%, driven by optimism over a potential US-India trade deal [3] Group 2: Tariff Threats and Corporate Responses - The pharmaceutical industry faces ongoing tariff threats, prompting GlaxoSmithKline to announce a $30 billion investment in US research and development and manufacturing over the next five years, resulting in a nearly 2% increase in GSK's U.S.-listed shares [4] - Analysts noted that GSK's proactive investment positions the company favorably against potential sector-specific tariffs [4] Group 3: Digital Influence on Markets - President Trump's use of Truth Social to announce policies, such as the TikTok deal, creates immediate market reactions, highlighting the impact of social media on financial markets [5] - Trump also proposed shifting from quarterly to semi-annual earnings reports, a move that could simplify reporting for companies [6] Group 4: Broader Market Trends - The US markets showed mixed performance on September 17, with the S&P 500 up 0.04%, Dow Jones up 0.48%, and Nasdaq down 0.12%, reflecting cautious anticipation of a Federal Reserve interest rate cut [8] - Analysts believe the Fed's potential rate cut is a response to a weakening job market, influenced by Trump's tariffs, indicating a complex interplay between economic indicators and protectionist policies [9] Group 5: Overall Market Sentiment - The market operates in a state of volatility, with indices fluctuating between optimism over trade deals and concerns over tariff threats, necessitating agility from investors and companies alike [10]