The Federal Reserve lowered interest rates by 25 basis points to a target range of 3.50%–3.75%, in line with what the markets expected, but did not clearly indicate further easing of policy.
Today's decision was not unanimous, which amplifies the uncertainty that has dominated investor sentiment over the past week.
What matters most for the market are the signals, not the cut
The FOMC pointed to a slowdown in job growth, a rising unemployment trend into the third quarter, and inflation that has risen again since the beginning of 2025.
Politicians noted the rising risks to employment but did not declare a lasting cycle of cuts. In today's message, they emphasize a data-dependent policy.
The committee reiterated that before making further decisions, it will assess "incoming data, changing perspectives, and the balance of risks."
Cryptocurrency traders will consider such a stance to be neutral or slightly cautious. The lack of specific announcements means that January and March will be critical for market expectations.
This approach aligns with pre-decision analyses. Experts warned that a hawkish cut is possible: easing today, but without a gentle path for the future.
The lack of declarations on further steps suggests that the Fed wants to retain flexibility. Inflation remains "somewhat elevated," and uncertainty surrounding economic growth remains high.
Rare divided voting highlights internal tensions.
The division of votes shows a divided committee. Stephen Miran advocated for a larger cut of 50 basis points, while Austan Goolsbee and Jeffrey Schmid wanted to maintain the status quo.
Such a clear split shows uncertainty in the market. A weakening labor market, inflation that has stopped falling, and differing opinions on the need for further cuts deepen this uncertainty.
These three different positions are significant. They represent conflicting views on economic easing and the pace of cuts. Markets will take this as confirmation that the cycle is no longer decidedly accommodative.
The note regarding the balance is worth noting.
The Fed also announced its readiness to purchase short-term Treasury bonds if necessary to maintain an appropriate level of reserves – subtle, yet important for liquidity flow. It could stabilize the economy if volatility increases in 2026.
Today's decision was in line with market expectations but does not indicate a further path. The tone of the message is balanced, cautious, and data-dependent, rather than accommodative.
Now the January decision becomes crucial. The headline was the rate cut. The real reaction will come in the future.