PANews reported on September 19 that the Federal Reserve cut the federal funds rate by 50 basis points to 4.75%-5.00%, the first rate cut since March 2020. The Federal Reserve has raised interest rates 11 times in a row from March 2022 to July 2023, with a cumulative increase of 525 basis points. Over the past year, the Federal Reserve has maintained the target range of the federal funds rate between 5.25% and 5.5%, the highest level in 23 years. The dot plot shows that the Federal Reserve expects the federal funds rate to be 4.4% at the end of 2024 and 5.1% in June; the federal funds rate is expected to be 3.4% at the end of 2025 and 4.1% in June; the federal funds rate is expected to be 2.9% at the end of 2026 and 3.1% in June; the federal funds rate is expected to be 2.9% at the end of 2027 and 2.9%; the long-term federal funds rate is expected to be 2.9% and 2.8% in June.
