Fed cuts interest rates for third straight time amid uncertainty over labor market, inflation 

Fed's third interest rate cut comes despite inflation remaining above policymakers' 2% target

Eric Revell / FOXBusiness 

 

The Federal Reserve on Wednesday announced its third interest rate cut of the year as policymakers moved forward with the cut to support the labor market despite elevated inflation. 

Fed policymakers voted to lower the benchmark federal funds rate by 25 basis points to a new range of 3.5% to 3.75%. The move follows rate cuts of that size in September and October, which were the first of the year.

Policymakers have been tracking economic data showing a slowdown in the labor market in recent months as companies adjust to shifts in trade and immigration policy. Meanwhile, inflation has trended higher as tariff-related price hikes filter through the economy.

Those dynamics have put the Fed in a difficult spot as it looks to fulfill its dual mandate goals of stable prices in line with the 2% long-run target for inflation as well as promoting maximum employment.

Marco Rubio claims ‘progress’ towards Ukraine-Russian peace deal — but says only Putin can end the war

Victor Nava / NEW YORK POST

Secretary of State Marco Rubio argued Tuesday that “progress” had been made towards ending the nearly four-year-long war in Ukraine – and suggested Russian President Vladimir Putin is the main obstacle that remains.

“What we’re trying to see is if it’s possible to end the war in a way that protects Ukraine’s future that both sides could agree to,” Rubio told Fox News host Sean Hannity, after the Kremlin rejected the Trump administration’s latest plan to end the bloodshed.

“I think we’ve made some progress, but we’re not there yet,” the secretary of state continued.

When asked how confident he was in the prospect of peace, Rubio deflected and put the onus on Putin.

“It’s hard to tell about confidence level on it, because ultimately the decisions have to be made, in the case of Russia, by Putin alone,” the top US diplomat said. “Not his advisors, Putin."

 

“Only Putin can end this war on the Russian side.”