Federal Reserve Chairman Powell held a press conference after a two-day interest rate policy meeting in Washington, USA, on September 18, 2024.
Tom Brenner | Reuters
Federal Reserve Chairman Jerome Powell said Wednesday’s larger-than-expected interest rate cut may have limited impact on the presidential race between Vice President Kamala Harris and Donald Trump because the impact of the decision will be slow to ripple through the economy.
“What we’re doing does have a lag on the state of the economy to a large extent,” Powell said in response to a reporter’s question about the timing of the long-awaited rate cut at a news conference, just 48 days before the Nov. 5 election. sky.
The Federal Reserve announced on Wednesday its decision to slash interest rates by 50 basis points, the first rate cut since March 2020, marking a milestone in the U.S. economic recovery from the epidemic.
Both Harris and Trump are trying to position themselves as the top candidates for the health of the U.S. economy, as voters repeatedly list the high cost of living as a top issue in national polls.
“We’ve just reached an important point: inflation and interest rates are falling and the economy remains strong,” President Joe Biden he wrote in an X post after the announcement.
This is a development story. Please check back for updates.
About The Author
