US Fed's First Interest Rate Cut in 4 Years: What Global Markets Can Expect | Firstpost Tech & Trade

US Fed's First Interest Rate Cut in 4 Years: What Global Markets Can Expect | Firstpost Tech & Trade

The US Federal Reserve has made its first interest rate cut since the Covid pandemic, reducing rates by 0.5 percentage points amid concerns over a potential labour market slowdown. The central bank's Federal Open Market Committee lowered its key borrowing rate to 4.75%-5%, in line with market expectations. This marks the first half-point cut from emergency measures since the 2008 financial crisis. The Federal Reserve noted that while job growth has slowed, economic activity remains strong, and inflation is moving towards its 2% target. This cut is expected to impact not only US markets but also the global economy. Emerging markets, in particular, are eager for relief, as high US interest rates have strained their currencies and increased trade costs. A rate cut could spark capital inflows and strengthen foreign investments worldwide. Let's explore how.

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[ExplorewithMichael-ly]

*I had problem comprehending trading in general. I tried watching other YouTube trading channels, but they made the concepts more complicated. I was almost giving up until when i discovered content and explain everything in detail. The videos are easy to follow*

[stephendodson]

The Fed is undoubtedly responsible for the present catch-up efforts, as they were first too slow to control inflation. The pandemic, supply-chain issues, are all contributing reasons to the impending inflationary perfect storm. I'm still looking for companies to make additions to my $500K portfolio, to boost performance. Here for ideas...

[Riggsnic_co]

I see the rising interest rate as a very big problem, as more investors will definitely pull out more money from the Stock market. This might have worked when I was still invest-ing with a couple thousand dollars, but it is more difficult now to decide whether to pull out more than $365k from my port-folio. I know some inves-tors still make that despite the strong bear market. In wish I could pull that feat

[liamcm]

Man, these Fed rate cuts are really starting to mess with everything. I mean, sure, they were supposed to help, but now I’m feeling the pinch everywhere. My savings account is basically giving me nothing, and the stock market’s all over the place.

[mbnesbitt]

The right choice of an investment has always been a big problem for me I know picking a wrong investment will leave a big scar in the future

[greta-ck]

I feel investors should focus on under-the-radar stocks, considering the current rollercoaster nature of the stock market, Because 35% of my $270k portfolio comprises plummeting stocks that were once revered. I don't know where to go here out of devastation.

[JayMomoa-]

With markets tumbling, inflation soaring, and the Fed imposing large interest-rate hike which means more red ink for portfolios. I'm still at a crossroads deciding if to liquidate my $125k bond/stock portfolio, or are there ways I can safely profit from this volatile mkt?

[Jaysky]

Inflation is expected to get worse and more complicated

[austinbar]

Given the persisting global economic crisis, it's essential for individuals to focus on diversifying their income streams independent of governmental reliance. This involves exploring options such as stocks, gold, silver, and digital currencies. Despite the adversity in the economy, now is an opportune moment to contemplate these investment avenues.

[kaloryfer]

The ticking time bomb is the federal debt. The interest payment of that debt has been rising by a cataclyspic 25% a year, from 518 billion in 2020, to 1025 billion in 2023.
It's an absolute disaster waiting to blow out.

[PascualMergildo-ii]

I'm new at this, please how can I reach her?k

[ArloHaggins-yirc]

Some middle class can not buy a car or buy a house because the prices of cars and prices of houses is Skyrocket High and also the interest rate is very high

[Jaysky]

Inflation is not the lowest it’s been in three years and the economy has been bad. It didn’t just start getting bad.

[leondonald]

Rate cuts commenced in June 2024, taking 6-8 months to complete. A potential crash, if any, might occur by March 2025. The soft landing narrative is gaining traction, making this big recession everyone is calling for less likely. With $1 million from a business sale, I'm seeking profitable investment opportunities for the next 3 years.

[Zero_thehero]

It would be easier for you all to just bend the knee❤❤❤

[anniegomes]

This information is not accurate, reporter needs to do better research

[Binodpanthee]

The US has four major pillars of economy that are first weapons / Defence industry, second medicine / vaccine industry, third one AI and software tech industry and last one petrodollar and transaction money or reserve currency. all these four major key players are binding or guided by high values of ethics of believenes so all people trust on US as a guardians but during past some years the leadership of us makes several mistakes and wrong decision making that impacts now in economics and federal reserve also. please don't believe in weapons and war with ego that kills human and humanity so revenge psychology and NATO actions are major factors of present conditions so please review on these two factors for good economy. and respect co-operation and co existance. some years back even China and Russia are also using dollars as a trading and reserve currency. due to the actions of NATO and US policy all we felt these conditions so if we think in deep way so all causes of present conditions are self decisions of US leadership.

[netizencapet]

Inflation is not simply flamed or tamed by rate cuts & hikes. The US economy is consolidated in every sector, allowing oligopolies to extract inflationary rent profits. Tariffs magnify this damage.

[mikhelBrown]

Inflation is inevitable. Buy Bitcoin and other Crypto Assets. *'Bitcoin is the superior long-term hedge against inflation and currency debasement.'* 💯