US Federal Reserve announces another interest rate cut

Fed Chair Jerome Powell signals that further cuts are unlikely

Jerome Powell
Federal Reserve Board Chairman Jerome Powell speaks during a news conference on Wednesday
(Image credit: 2019 Getty Images)

The US central bank, the Federal Reserve, announced yesterday that it is cutting US interest rates by 25 basis points for the third time this year, but signalled that the easing of monetary policy would likely be put on hold imminently.

Jerome Powell, the Fed chair, said that the rate cut was in response to a global economy that continues to face perils. However, he added that the potential of a “phase one” US-China trade deal, as well as the reduced risk of a no-deal Brexit, had reinforced thinking that continued monetary easing may not be necessary.

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