Fed Cuts Rates Amidst Divided Vote, Markets Expect More Easing in 2026
ByAinvest
Wednesday, Dec 10, 2025 11:26 pm ET1min read
The US Federal Reserve delivered a rate cut but emphasized that future decisions depend on incoming economic data, contradicting market expectations of two cuts next year. The decision came with a divided vote and a hawkish tone, with officials expecting one quarter-percentage-point cut in 2026 and inflation easing to 2.4% by year-end. The move was seen as a cautious step despite optimistic projections for 2026.
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