ChainCatcher news, according to Jin Shi reports, the Federal Reserve announced a 25 basis point interest rate cut as scheduled this week, lowering the federal funds target rate range to 4.5%-4.75%. All 12 members of the FOMC voted in favor of the rate cut. The policy statement removed references to progress on inflation and increased confidence in achieving targets, emphasizing concerns about dual risks of employment and inflation. Federal Reserve Chairman Powell stated that future rate cuts will be accelerated or slowed based on economic conditions, and due to high uncertainty, it is not appropriate to provide excessive forward guidance, but the Fed will gradually move towards a neutral policy stance. He also stated that the election will not affect the Fed's recent policy decisions, and the President does not have the legal authority to remove him due to Trump's resignation.
It is reported that Trump's election led traders to reduce their bets on the Federal Reserve's interest rate cuts next year, expecting a pause after potentially cutting rates 1-2 times in the first half of 2025.
