Will The Fed Cut Interest Rates In 2025

Will The Fed Cut Interest Rates In 2025. Washington (ap) — federal reserve officials signaled wednesday that they still expect to cut their key interest rate three times in 2025, fueling a rally on wall street, despite signs that inflation remained elevated at the start of the year. On wednesday, the federal open market committee announced it would be cutting interest rates by 50 basis points.

The federal reserve will lower interest rates by 25 basis points at each of the u.s. At the end of last year, the air was brimming with hope that the fed would start cutting rates early in 2025, easing pressure not just for consumers, but also for businesses of all sizes.