Federal Reserve Cuts Interest Rates for Third Consecutive Meeting Amid Internal Divisions

The Federal Reserve cut interest rates for the third consecutive time, lowering the federal-funds rate to between 3.5% and 3.75%, signaling a cautious approach with little appetite for further cuts. The decision reflects internal divisions between inflation-wary hawks and employment-focused doves, with concerns over inflation remaining above target and a cooling labor market. Fed Chair Jerome Powell's term ending soon adds uncertainty to future policy. The Fed emphasized data dependency for future moves, highlighting upcoming employment and inflation reports as critical for decision-making.

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12-11
Dovish Fed Expected to Support Risk Assets -- Market Talk
Dovish Fed Expected to Support Risk Assets -- Market Talk
12-11
Analyzing the Fed's Rate Decision: Should We Prefer High or Low Interest Rates?
Analyzing the Fed's Rate Decision: Should We Prefer High or Low Interest Rates?
12-11
Fed Cuts Rates as Expected: Is Shadow QE Coming?
Fed Cuts Rates as Expected: Is Shadow QE Coming?
12-11
Indian Equities Rebound on Thursday After Fed Rate Cut
Indian Equities Rebound on Thursday After Fed Rate Cut
12-11
MIDEAST STOCKS-Major Gulf markets gain as US Fed lowers rate
MIDEAST STOCKS-Major Gulf markets gain as US Fed lowers rate
12-11
US Treasury Yields Decline After Fed Rate Cut as Market Focus Shifts to Economic Data
US Treasury Yields Decline After Fed Rate Cut as Market Focus Shifts to Economic Data
12-11
Key Takeaways from Fed Policy Statement & Powell's 25 Press Conference Q&As
Key Takeaways from Fed Policy Statement & Powell's 25 Press Conference Q&As
12-11
U.S. Treasury Yields Fall, Focus Shifts to Payrolls Data After Fed Meet -- Market Talk
U.S. Treasury Yields Fall, Focus Shifts to Payrolls Data After Fed Meet -- Market Talk
12-11
Fed Rate Cut Reflects Concern About U.S. Economy's Underlying Momentum -- Market Talk
Fed Rate Cut Reflects Concern About U.S. Economy's Underlying Momentum -- Market Talk
12-11
ANALYSIS-Fed signals pause on rate cuts as investors navigate data darkness and leadership change
ANALYSIS-Fed signals pause on rate cuts as investors navigate data darkness and leadership change
12-11
Fed's Fractured Vote Signals Trouble Ahead for Future Rate Cuts -- WSJ
Fed's Fractured Vote Signals Trouble Ahead for Future Rate Cuts -- WSJ
12-11
Powell's Rate Cut Decision Faces "Silent Dissent" as Fed Divisions Deepen
Powell's Rate Cut Decision Faces "Silent Dissent" as Fed Divisions Deepen
12-11
《热点透视》美联储设定政策护栏，鲍威尔继任者恐难大幅降息
《热点透视》美联储设定政策护栏，鲍威尔继任者恐难大幅降息
12-11
Wall Street Interprets Fed Decision as More Dovish Than Expected
Wall Street Interprets Fed Decision as More Dovish Than Expected
12-11
J.P. Morgan Asset Management Commentary: Fed Cuts Rates by 25bps as Expected, Resumes Bond Purchases from Dec 12
J.P. Morgan Asset Management Commentary: Fed Cuts Rates by 25bps as Expected, Resumes Bond Purchases from Dec 12
12-11
中国股市：沪综指略高开，美联储一如预期降息25个基点
中国股市：沪综指略高开，美联储一如预期降息25个基点
12-11
Powell's Less Hawkish Tone and "Mini QE" Spark Market Rally: Dollar Drops, Treasuries and Precious Metals Surge
Powell's Less Hawkish Tone and "Mini QE" Spark Market Rally: Dollar Drops, Treasuries and Precious Metals Surge
12-11
Japanese Equities Climb After Fed Rate Cut
Japanese Equities Climb After Fed Rate Cut
12-11
Galaxy Securities' Review of December FOMC Meeting: Dovish Rate Cut Amid Widening Internal Divisions
Galaxy Securities' Review of December FOMC Meeting: Dovish Rate Cut Amid Widening Internal Divisions
12-11
Overnight Surge Across Markets as Fed Announces Rate Cut; Powell Delivers Key Remarks
Overnight Surge Across Markets as Fed Announces Rate Cut; Powell Delivers Key Remarks
12-11
Goldman Sachs on Fed Decision: A Less "Hawkish" Rate Cut, January Path Unclear
Goldman Sachs on Fed Decision: A Less "Hawkish" Rate Cut, January Path Unclear
12-11
Fed Cuts Rates for Third Time This Year, Trump Calls It "Too Small"; Powell Speaks Out as Silver Hits Record High
Fed Cuts Rates for Third Time This Year, Trump Calls It "Too Small"; Powell Speaks Out as Silver Hits Record High
12-11
Post-Bell | US Stocks Rally After Fed Cuts Interest Rates. Netflix Falls 4%; Palantir Jumps 3%; Micron Rises 4.5%; EchoStar Soars 11%; GE Vernova Surges 16%
Post-Bell | US Stocks Rally After Fed Cuts Interest Rates. Netflix Falls 4%; Palantir Jumps 3%; Micron Rises 4.5%; EchoStar Soars 11%; GE Vernova Surges 16%
12-11
投票结果9比3 美联储批准今年第三次降息，预计未来降息步伐将放缓
投票结果9比3 美联储批准今年第三次降息，预计未来降息步伐将放缓
12-11
Fed's December Decision in a Nutshell: Third Consecutive Rate Cut as Expected, Powell Rules Out Further Hikes
Fed's December Decision in a Nutshell: Third Consecutive Rate Cut as Expected, Powell Rules Out Further Hikes
12-11
December FOMC Review: A More Dovish Stance Than Expected
December FOMC Review: A More Dovish Stance Than Expected
12-11
RPT-FOREX-US dollar tumbles after Fed cuts rates, Powell comments
RPT-FOREX-US dollar tumbles after Fed cuts rates, Powell comments
12-11
Fed Cuts Rates Again, Signals It May Be Done for Now
Fed Cuts Rates Again, Signals It May Be Done for Now
12-11
GLOBAL MARKETS -Stocks rise, yields and dollar fall after Fed cuts interest rates
GLOBAL MARKETS -Stocks rise, yields and dollar fall after Fed cuts interest rates
12-11
鲍威尔说了什么？金融市场瞬间沸腾！美股全面走高，黄金短线拉升
鲍威尔说了什么？金融市场瞬间沸腾！美股全面走高，黄金短线拉升
12-11
美国股市：收高，美联储一如预期降息25个基点
美国股市：收高，美联储一如预期降息25个基点
12-11
Overnight Highlights Dec 11: Stocks Rise on Rate Cut, Trump Criticizes Fed, Oracle Plunges, Netflix Faces Lawsuit
Overnight Highlights Dec 11: Stocks Rise on Rate Cut, Trump Criticizes Fed, Oracle Plunges, Netflix Faces Lawsuit
12-11
U.S. Stocks: Major Indices Rise as Fed Delivers Third Consecutive Rate Cut; Powell Upbeat on Economic Outlook
U.S. Stocks: Major Indices Rise as Fed Delivers Third Consecutive Rate Cut; Powell Upbeat on Economic Outlook
12-11
美国股市：三大指数普涨 美联储连续第三次降息 鲍威尔看好经济前景
美国股市：三大指数普涨 美联储连续第三次降息 鲍威尔看好经济前景
12-11
TRADING DAY-Market gives Fed resounding cheer
TRADING DAY-Market gives Fed resounding cheer
12-11
Asian Morning Briefing: U.S. Stocks Rise After Fed Cuts Interest Rates
Asian Morning Briefing: U.S. Stocks Rise After Fed Cuts Interest Rates
12-11
Dow gains almost 500 points, S&P 500 ends shy of record high after Fed's final rate cut of 2025 bolsters case for early start to 'Santa Claus rally'
Dow gains almost 500 points, S&P 500 ends shy of record high after Fed's final rate cut of 2025 bolsters case for early start to 'Santa Claus rally'
12-11
US STOCKS-Wall Street indexes rally after Fed cuts interest rates
US STOCKS-Wall Street indexes rally after Fed cuts interest rates
12-11
QUOTES-Fed sees only one rate cut in 2026; no hike ahead, says Powell
QUOTES-Fed sees only one rate cut in 2026; no hike ahead, says Powell
12-11
TREASURIES-US yields drop after Fed rate cut, Powell signals hike unlikely
TREASURIES-US yields drop after Fed rate cut, Powell signals hike unlikely
12-11
FOREX-US dollar tumbles after Fed cuts rates, Powell comments
FOREX-US dollar tumbles after Fed cuts rates, Powell comments
12-11
Powell Says FOMC Dissent Stems From Tension in Dual-Mandate Goals -- WSJ
Powell Says FOMC Dissent Stems From Tension in Dual-Mandate Goals -- WSJ
12-11
BREAKINGVIEWS-Fed puts up guardrails for Jay Powell's successor
BREAKINGVIEWS-Fed puts up guardrails for Jay Powell's successor
12-11
Powell Says Fed Will "Wait and See" Before Moving Again, but Pretty Much Rules Out Hike
Powell Says Fed Will "Wait and See" Before Moving Again, but Pretty Much Rules Out Hike
12-11
GLOBAL MARKETS-Stocks add to gains, yields extend declines as Fed cuts rates
GLOBAL MARKETS-Stocks add to gains, yields extend declines as Fed cuts rates
12-11
US dollar slides after Fed cuts rates, as expected
US dollar slides after Fed cuts rates, as expected
12-11
Divided Fed Lowers Rates, Signals Pause and One 2026 Cut as Growth Rebounds
Divided Fed Lowers Rates, Signals Pause and One 2026 Cut as Growth Rebounds
12-11
LIVE MARKETS-Stocks gain, yields little changed after Fed's hawkish cut
LIVE MARKETS-Stocks gain, yields little changed after Fed's hawkish cut
12-11
FOREX-Dollar loses ground against peers after Fed cuts rates
FOREX-Dollar loses ground against peers after Fed cuts rates
12-11
Fed Officials Use Dot Plot to Signal Dissent -- Market Talk
Fed Officials Use Dot Plot to Signal Dissent -- Market Talk
12-11
Live: Fed cuts interest rates by 25 basis points
Live: Fed cuts interest rates by 25 basis points
12-11
U.S. central bankers split, with median seeing one rate cut in 2026
U.S. central bankers split, with median seeing one rate cut in 2026
12-11
美联储如期降息25个基点，年内已累计降息75个基点
美联储如期降息25个基点，年内已累计降息75个基点
12-11
Federal Reserve Cuts Key Overnight Interest Rate by 25 Basis Points to 3.50-3.75% Range; Projections Show One 25-Basis-Point Cut in Each of 2026 and 2027
Federal Reserve Cuts Key Overnight Interest Rate by 25 Basis Points to 3.50-3.75% Range; Projections Show One 25-Basis-Point Cut in Each of 2026 and 2027
12-11
Both Camps Have Solid Cases at a Divided Fed Meeting -- Market Talk
Both Camps Have Solid Cases at a Divided Fed Meeting -- Market Talk

User Discussion

avatarWallStreet_Tiger
12-11

Fed Cuts Rates as Expected, Launches RMP; Growth Stocks Cool Off but 'Earnings Trades' Gain Momentum

On Wednesday, December 10 (ET), the Federal Reserve announced a 25bp reduction in the federal funds target range to 3.50%–3.75%. This marks the third rate cut in 2025, bringing the cumulative reduction this year to 75bp. Beneath the surface of this seemingly routine cut, the meeting revealed two key signals: an unusual level of internal division within the Committee and a future policy path that will be highly dependent on data and timing.I. Key Takeaways: The Cut Was Expected, but Divisions Stand OutCompared with the previous meeting at the end of October, the most significant difference in this meeting’s statement is that among the 12 FOMC voting members, three voted against the 25bp rate cut—one more dissent than in October. This is the first time since 2019 that a Fed rate decision has
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Fed Cuts Rates as Expected, Launches RMP; Growth Stocks Cool Off but 'Earnings Trades' Gain Momentum