WICHITA, Kan. (KWCH/ASSOCIATED PRESS) - The Federal Reserve cut its key interest rate Wednesday for a second time this year as it seeks to shore up economic growth and hiring even as inflation stays elevated.
The move comes amid a fraught time for the central bank, with hiring sluggish and yet inflation stuck above the Fed’s 2% target.
Compounding its challenges, the central bank is navigating without much of the economic data it typically relies on from the government.
Almost immediately, credit card users will notice a 0.25% drop in most of their interest rates. Scott Colbert, a chief economist at Commerce Bank in Kansas City, though, said Wednesday’s rate change will not impact mortgage rates too much.
At the car lot, Colbert said car buyers may notice a drop in car prices.
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