Fed plans interest rate cut following Trump's election victory
abcnews.go.com — November 7, 2024, 11:01 AM UTC
The Federal Reserve is expected to announce a quarter-point interest rate cut on Thursday, following President-Elect Donald Trump's victory. This comes after a half-point cut in September, aimed at easing borrowing costs amid cooling inflation.
Interest rates currently range from 4.75% to 5%. The Fed's projections suggest further cuts, with rates potentially dropping another half-point by the end of 2024 and an additional point in 2025.
The stock market reacted positively to Trump's election, with the Dow Jones rising over 1,300 points. This marks a significant increase, reflecting investor optimism following the election results.
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