Fed cuts rates, hints at pause.

Published: Jan. 1, 2025

The Federal Reserve's decision to lower interest rates by a quarter percentage point has sent shockwaves through the financial markets, prompting a significant sell-off and leaving economists grappling with the implications for an already complex economic landscape. The move, while seemingly designed to ease borrowing costs for consumers and businesses, masks a deeper uncertainty about the future trajectory of inflation and the Fed's ability to navigate a delicate balancing act.