PANews reported on November 10 that according to Jinshi, the Federal Reserve announced a 25 basis point interest rate cut as scheduled this week, and the target range of the federal funds rate was reduced to 4.5%-4.75%. All 12 FOMC members voted in favor of the rate cut. The policy statement deleted the statement about progress in inflation and greater confidence in achieving the target, emphasizing the focus on the dual risks of employment and inflation. Federal Reserve Chairman Powell said that the pace of interest rate cuts will be accelerated or slowed down according to economic conditions. At present, there is a high degree of uncertainty and it is not appropriate to provide too much forward-looking guidance, but it will gradually move towards a neutral policy stance. He also said that the election will not have any impact on the Fed's recent policy decisions, and Trump will not resign because the president has no legal authority to remove him.
It is reported that Trump's election has led traders to reduce their bets on the Federal Reserve to cut interest rates next year, and it is expected that the Fed may pause after cutting interest rates 1-2 times in the first half of 2025.
