NewsHK
HONG KONG — A softening in American consumer prices has given the Federal Reserve the political room it needed, and policymakers moved swiftly to use it.
The Fed signaled on Wednesday that it would cut its benchmark interest rate by 25 basis points at the June meeting, after data showed U.S.
headline inflation easing to 2.4% year-on-year — the mildest reading recorded since 2024.
The move, telegraphed through an updated dot plot, effectively ratifies what rate-futures markets had been pricing for weeks and sets a clearer trajectory for monetary easing heading into the second half of the year.
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