Summary of the FED meeting in September 2025
🔻 Lower interest rates by an additional 0.25%, bringing the target range down to 4% – 4.25%.
🔻 This is the lowest decrease since December 15, 2022.
🔻 At the same time, this is the first rate cut in 2025, exactly as the market expected.
In the statement following the meeting, the Fed emphasized that the decision to lower interest rates this time is characterized as a "risk prevention" measure. He stressed that the Fed must balance between two opposing pressures: the risk of rising inflation and the threat of a weakening labor market.
Despite many differing opinions, the majority of FOMC members still lean towards the scenario of further interest rate cuts this year. This means that the global financial market may enter a new easing phase, providing a boost to growth but simultaneously posing risks if inflation returns.
