{"id":137331,"date":"2024-09-17T09:30:12","date_gmt":"2024-09-17T06:30:12","guid":{"rendered":"https:\/\/cryptodnes.bg\/en\/?p=137331"},"modified":"2024-09-17T00:45:08","modified_gmt":"2024-09-16T21:45:08","slug":"senators-push-fed-for-0-75-rate-cut-to-prevent-recession","status":"publish","type":"post","link":"https:\/\/cryptodnes.bg\/en\/senators-push-fed-for-0-75-rate-cut-to-prevent-recession\/","title":{"rendered":"Senators Push Fed for 0.75% Rate Cut to Prevent Recession"},"content":{"rendered":"

In a letter sent to Powell, Senators Warren, Sheldon Whitehouse, and John Hickenlooper called for a 75-basis-point rate cut, warning that failure to act could increase the risk of a recession.<\/p>\n

The senators argue that delaying rate cuts could push the economy into trouble, particularly affecting the labor market. They believe a more aggressive stance in the short term is necessary to avoid long-term economic challenges.<\/p>\n

As the Fed prepares for its next policy meeting, there is widespread anticipation of a rate cut, though the size remains unclear. Investors and market watchers are speculating about potential cuts of 0.25% to 0.50%, while the senators are advocating for a larger 0.75% reduction. The senators\u2019 call comes as inflation trends downward, nearing the Fed\u2019s target of 2%, and the labor market shows signs of softening, which they argue justifies a bolder move.<\/p>\n