DALLAS – (WBAP/KLIF) – In a unanimous vote, the Federal Open Market Committee has lowered its benchmark overnight borrowing rate by a quarter percentage point, to a target range of 4.50%-4.75%.
The Fed justifies easing the rate as it supports employment as as much of a priority as stopping inflation.
This rate sets what banks charge each other for overnight lending, but likewise, influences consumer debt in the area of mortgages, auto loans and credit cards.
Markets were expecting this move; mentioned at the September meeting and in follow up comments from policymakers after that. Uncertainty remains about how far the Fed will go with cuts,
as the macro economy continues to post solid growth, and inflation remains a a stifling problem for American households
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