US Fed Meeting Live Updates: Powell-led FOMC to unveil interest rate decision today after US election verdict
US Fed Meeting Live Updates: The US Federal Reserve is set to announce its seventh policy decision for 2024 on Thursday, November 7, after a two-day Federal Open Market Committee (FOMC) meeting and is widely expected to slash the benchmark interest rate by 25 basis points (bps) or (1/4) quarter a percentage point, broadly in line with Wall Street estimates.In the September meeting, the US Fed slashed the benchmark interest rate by 50 basis points (bps) or (½) half a percentage point to 4.75 per cent-5 per cent for the first time in four years after policymakers expressed confidence that inflation was consistently on track to come near the four per cent target.US Fed policymakers see the benchmark interest rate falling by another half-point (50 bps) by the end of this year, another full percentage point in 2025, and a final half-point reduction in 2026 to end in a 2.75 per cent-3.00 per cent range. One bps is equal to one hundredth (1/100) of a percentage point.A rate cut could lower borrowing costs, including for mortgages and business loans, giving individuals and companies the incentive to spend and invest.
“Fed’s actions will have a direct and swift impact on the economy compared to the potential long-term effects of the election, where legislative changes could take months to unfold," said Nigel Green, CEO of financial advisory firm deVere Group.In September, the FOMC voted 11 to 1 to lower the federal funds rate after holding it at over a two-decade high for more than a year. It was the US Fed’s first rate cut after four years.
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