WASHINGTON, DC – After the Federal Reserve hiked interest rates eleven times in the wake of the pandemic, the Federal Open Market Committee (FOMC) today announced it would cut their benchmark borrowing rate by half of a percentage point.  U.S. Senator Jack Reed, a member of the Senate Committee on Banking, Housing and Urban Affairs, hailed the move as overdue and good for consumers, stating:

“This is the Fed’s first rate cut in more than four years, and it’s both welcome and overdue.  It will support further job growth while helping bring down costs for consumers and businesses.  Chairman Powell noted the U.S. economy is in good shape and growing at a solid pace, with inflation coming down and a strong labor market.   This rate cut will help as we continue to strengthen U.S. economic growth, increase wages, and ease the burden of high prices on consumers.”