A Fed Rate Cut May Be Coming—But At What Cost

The Federal Reserve is widely expected to cut its key interest rate next week to give a boost to the faltering job market, despite concerns that lower borrowing costs could stoke inflation.

As of Friday, financial markets were pricing in a 90% chance the central bank would cut its key interest rate by a quarter-point to a range of 3.5% to 3.75%, according to the CME Group's FedWatch tool, which forecasts rate movements based on fed funds futures trading data.

It would be the third rate cut in as many meetings.

The 12 members of the central bank's policy committee have been sharply divided over whether to cut rates to encourage spending and stabilize the faltering job market, or to keep them higher for longer to fight inflation that is still well above the Fed's target of a 2% annual rate.

👉Is this is last Fed cut by Jerome as Chairman

👉Or the decision of change of chairman will bring high votality in market like the time of Trump's election as a president