Paul, it seems that markets of various states are thinking very hard about things around the release of the statement and the press conference yesterday. Maybe risk assets just woke up this morning and said, okay, well, we'll take that more rate cuts. What did you take away from the Fed.Well, we could probably make this a ten minute hit rather than a three minute countdown to unpack everything that went on with the Fed on it. But I'll give you a couple of my thoughts on it. A couple of takeaways.One, the Fe ...

The CNBC app, global market news in one place. Customizable sections and personalized alerts. Stocks tracking, interactive charts and market insights, all in your hands.Stay connected, stay informed. Download the CNBC app today. [Music] Oh, a very warm welcome to the post FOMC edition of Sport Europe with Juliana Tattlebound and me, Steve Cedric.And these are your headlines. So Jerome Pow delivers in line with expectations. Maybe a doubish tilt maybe.Anyway, as the FOMC makes a long- aaited rate cut, long a ...

September 17, 2025 08:27 PM GMT Federal Reserve Monitor | North America Press conference quick reaction: Toward a more neutral stance Although the Fed remains data dependent, we think it has begun a modest recalibration of its policy stance. Key Takeaways | M Press conference quick reaction: Although the Fed remains data dependent, we think it has begun | Chief US Economist Michael.Gapen@morganstanley.com Economist Diego.Anzoategui@morganstanley.com | +1 212 761-0571 +1 212 761-8573 | | --- | --- | --- | | ...

Well, a quarter point cut was the vote of 11 of the 12 voters. The loan to center was brand new Fed Governor Steve Myin. He wanted a half point.That's not as much as our next guest. Joining me now is David Zervos. He's chief market strategist at Jeffre and the CNBC contributor.He's been saying they should have cut 75 basis points at today's meeting. Has a met with the Trump administration about the Fed chair nomination. David, good to see you.So, I'm I'm trying to figure out how far off from the range are y ...

Group 1 - The Federal Reserve cut its benchmark interest rate by 25 basis points to a range of 4% to 4.25% and signaled the possibility of two more rate cuts this year [6][10][42] - The decision was not unanimous, with Steven Myron dissenting in favor of a 50 basis point cut, indicating differing views within the Federal Open Market Committee [6][36][72] - The Fed's economic projections show an upgraded GDP growth outlook of 1.6% for this year, with inflation expected to remain at 3.1% before decreasing to 2.6% next year [7][8][46] Group 2 - The Fed acknowledged a cooling labor market, stating that job gains have slowed and the unemployment rate has edged up, which influenced their decision to cut rates [9][105][106] - The Fed's approach is characterized as risk management, aiming to address potential downside risks to the labor market while still monitoring inflation [20][76][106] - The market reacted positively to the rate cut, with the Dow Jones Industrial Average rising by approximately 1% following the announcement [15][97][100] Group 3 - The dispersion in the Fed's dot plot indicates a wide range of expectations among officials regarding future rate cuts, reflecting uncertainty in the economic outlook [21][76][81] - Fed Chair Jerome Powell emphasized the importance of maintaining independence and making decisions based solely on incoming data, despite political pressures [108][109] - The Fed's focus on the labor market and inflation suggests a cautious approach moving forward, with future rate decisions being data-dependent [11][78][82]

Housing Market & Monetary Policy - Interest rate hikes exacerbate housing affordability issues, potentially hindering household formation and wealth accumulation [1][2] - Lowering interest rates aggressively during the pandemic helped housing companies by providing credit and financing [2] - Rate changes tend to affect mortgage rates, which in turn influence housing demand [2] - Analysts believe significant rate changes are needed to substantially impact the housing sector [3] - Achieving maximum employment and price stability creates a strong economy beneficial for housing [3] Housing Supply & Demand - A nationwide housing shortage exists, particularly around metropolitan areas [4] - Building farther from metropolitan areas increases costs [4] Economic Forecasting - Forecasting is very difficult, especially in uncertain times [5] - Forecasters currently lack great confidence in their projections [5]

Group 1: Federal Reserve and Interest Rates - The Federal Reserve announced a 25 basis point reduction in its benchmark interest rate, setting the new federal funds rate target range at 4.00% to 4.25%, marking the first rate cut since December 2024 [2][9] - JPMorgan Chase & Co. will cut its prime lending rate to 7.25%, effective September 18, reflecting the immediate impact of the Fed's monetary policy shift on commercial lending rates [3][9] - Jeffrey Gundlach of DoubleLine Capital supported the Fed's rate cut but warned of potential higher inflation risks if the Fed continues to ease excessively, anticipating a steepening yield curve and a decline in the U.S. dollar [4][9] Group 2: Corporate Partnerships - PayPal and Google Cloud announced a multiyear strategic partnership aimed at revolutionizing commerce, integrating PayPal's payment solutions across various Google products [5][9] - The partnership will see PayPal leveraging Google Cloud to modernize its technology infrastructure and collaborate on new AI-driven shopping experiences [5][9] Group 3: Geopolitical Developments - The European Union presented a new strategic agenda to deepen relations with India, aiming to enhance cooperation in defense, trade, technology, and connectivity, with a commitment to finalize a bilateral free trade agreement by year-end [6][9] - EU officials acknowledged challenges due to India's "problematic" relations with Russia, which may hinder deeper partnerships [6][9]

Mr. . Chairman, uh Neil Irwin with Axios. Um there's been some debate lately on whether AI is already starting to affect the labor market in terms of lower labor demand, uh higher productivity by contrast.Uh do you do you buy that. Uh and if that is true, does that have implications for for the monetary policy setting. >> So there's there's great uncertainty around that.I think my view which is also a bit of a guess but widely shared I think is that you are seeing some effects but it's not the main not the ...

Mr. . Chairman, uh Neil Irwin with Axios. Um there's been some debate lately on whether AI is already starting to affect the labor market in terms of lower labor demand, uh higher productivity by contrast.Uh do you do you buy that. Uh and if that is true, does that have implications for for the monetary policy setting. So there's there's great uncertainty around that.I think my view which is also a bit of a guess but widely shared I think is that you are seeing some effects but it's not the main not the mai ...

At today's meeting, the committee decided to lower the target range for the federal funds rate by a quarter percentage point to four to four and a quarter percent and to continue reducing the size of our balance sheet. In the near term, risks to inflation are tilted to the upside and risks to employment to the downside. A challenging situation when our goals are intention like this.Our framework calls for us to balance both sides of our dual mandate. With downside risks to employment having increased, the b ...