Overview
- The decision passed 9–3, with Board member Milan urging a 0.5-point reduction and two Reserve Bank presidents, including Chicago’s Austan Goolsbee, arguing to hold rates.
- Fed projections indicate one additional 0.25-point cut in 2026.
- Officials prioritized support for cooling employment even as price pressures persist, with coverage linking some inflation to tariff policy.
- U.S. stocks rallied on the easing signal, with the Dow Jones Industrial Average up more than 600 points at one stage.
- The yen strengthened in Tokyo to about ¥155.79 per dollar after the move, and President Trump called the cut “small,” saying it could have been at least doubled.