Federal Reserve Cuts Interest Rates for Third Time in 2019
The Federal Reserve cut interest rates Oct. 30, according to Reuters. This decision marks the third cut of 2019 as the cut is meant to offset the fallout from the global trade war. The policy rate will drop by a quarter of a percentage point, reaching a target range of 1.5% and 1.75%.
Moving forward, the Fed said it will "monitor the implications of incoming information for the economic outlook as it assesses the appropriate path" of its target interest rate, according to Reuters. Two Fed presidents dissented from the decision—Kansas City Fed President Esther George and Boston Fed President Eric Rosengren—as they have dissented from all previous rate cuts this year.
Despite the decision to continue to cut rates, the Fed's description of the U.S. economy has not changed significantly, according to Reuters, with economic activity "rising at a moderate rate" and labor markets remaining "strong."
—Christie Citranglo, editorial associate