The US Federal Reserve lowers interest rates for the first time this year, flagging slower job gains and risks to employment as policymakers face heightened pressure under US President Donald Trump.
The Fed cuts the benchmark lending rate by 25 basis points, to a range between 4.0 percent and 4.25 percent, while penciling in two more cuts this year.
Only new Fed Governor Stephen Miran — who has been serving as an economic adviser to Trump — votes against the decision. He favored a larger rate reduction of 50 basis points.
The other 11 voting members of the rate-setting Federal Open Market Committee (FOMC) voted for the quarter-point cut.
This was the first rate meeting involving Miran, who had been chairing the White House Council of Economic Advisers. He was sworn in just before the two-day gathering started on Tuesday, after a swift Senate confirmation on Monday night.
The central bank faces competing pressures in adjusting rates, with Trump’s sweeping tariffs fueling inflation risks while the job market weakens.
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