The Federal Reserve surprised some with a larger rate cut than had been predicted as the economy slows. What does this mean for the desired "soft landing"?

THE US economy is not out of the woods yet and could still see a rise in unemployment, a Federal Reserve governor wrote in a co-authored paper published on Friday (Sep 20). Read more at The Business Times.

The Fed has begun to rectify that abnormality with its half-point rate cut. This vastly improves the odds of a soft landing. It might even leave the economy and interest rates loo

Prospects of a “soft landing,” where the Fed brings down inflation without pushing the economy into recession, have lifted stocks and bonds this year, though signs of a softening labor market have fueled worries that the Fed may be too late in acting to shore up growth.

Federal Reserve Chair Jerome Powell led his colleagues to an outsize interest-rate cut designed to preserve the strength of the US economy as risks to the labor market mount, marking an end to their single-minded focus on quashing inflation.

One Bank of America strategist thinks the Federal Reserve’s decision to cut interest-rates by 50 basis points this week will ultimately end in tears for investors.

Over the past few years, elevated mortgage rates and sky-high housing prices have contributed to a lack of home affordability.

An initial muted market reaction following the Federal Reserve’s first rate cut in four years gave way to a surge in U.S. stocks as uncertainty ebbed and investors digested the implications of easing monetary policy.

The latest batch of quarterly forecasts from the Federal Reserve showed policy makers have had a change of heart since June about the pace of interest rate cuts in 2024. The latest iteration of the Fed's "dot plot" penciled in two more quarter-point cuts before the end of the year,