[“Fed Mouthpiece”: The Fed is actually making up for lost time] Golden Finance reported that Nick Timiraos, the “Fed Mouthpiece”, wrote in his latest article that the Fed voted today to cut interest rates by 0.5 percentage points, the first rate cut since 2020, and it also chose a bolder start. Powell’s decision to cut interest rates by more than most analysts expected a few days ago has allowed the Fed to enter a new phase of the fight against inflation unwaveringly: the Fed is now trying to prevent previous rate hikes from further weakening the U.S. labor market. “We are committed to maintaining our economic strength,” Powell said at a press conference. “This decision reflects our growing confidence that we can maintain the strong momentum of the labor market by appropriately adjusting our policy stance.” While some Fed officials have argued in recent weeks that the economy is not weak enough to require a 50 basis point rate cut, others have concluded that the cooling of the labor market this summer justifies further rate cuts because the Fed is actually making up for lost time.