rate cut
Fed's economic stimulus
A rate cut is a reduction in an interest rate, typically by a central bank.
When the Federal Reserve or another monetary authority lowers its benchmark rate, borrowing becomes cheaper throughout the economy: Markets rallied on news of the rate cut.
Rate cuts aim to stimulate spending and investment during economic slowdowns.
- interestAttention, stake, or fee
- federalDivided governmental authority
- reserveSupply kept back
- monetaryOf or about currency
- policyAdopted principle of action
stimulus · soft landing · easing · borrowing · mortgage · inflation · basis points · recession · dovish · basis · points · central bank · central · bank · liquidity · slash · reduction · economy
- economic policymonetary policy, tax policy, fiscal discipline, fiscal stimulus, fiscal restraint
- economyGDP, money, inflation, GNP, market
- decreasesreduction, decline, drop, fall, decrease
- economic eventsjob loss, layoffs, inflation, recession, boom
- interest ratesinterest, interest charge, interest income, interest payments, compound interest
- FedFederal Reserve, FOMC, monetary policy, Powell, Yellen