Federal Reserve Announces Interest Rate Decision With Mixed Opinions Among Officials

According to Odaily, the Federal Reserve's Federal Open Market Committee (FOMC) announced its latest interest rate decision with an 11-1 vote. This marks a departure from the unanimous decision in the previous meeting. The Federal Reserve has implemented a 50 basis points rate cut for the first time, leading to a short-term rise in the major U.S. stock indices. The Dow Jones Industrial Average increased by 0.79%, the S&P 500 rose by 0.86%, and the Nasdaq Composite gained 0.98%. The Fed's dot plot reveals varying opinions among the 19 officials regarding future rate cuts in 2024. Two officials believe there should be no further rate cuts after this meeting, while seven officials advocate for an additional 25 basis points cut in 2024. Nine officials support a further 50 basis points cut, and seven officials are in favor of a 75 basis points cut in 2024.