US Fed makes first rate cut of this year, indicates more cuts ahead

The U.S. Federal Reserve on Wednesday lowered the target range for the federal funds interest rate by 25 basis points to 4 to 4.25 percent, and indicated the potential for two more cuts later this year. This was the Federal Reserve's first rate cut of 2025, following three rate cuts in 2024.

Recent indicators suggest that growth of economic activity moderated in the first half of the year. Job gains have slowed, and the unemployment rate has edged up but remains low. Inflation has moved up and remains somewhat elevated, the Federal Open Market Committee (FOMC), the principal monetary policymaking body of the Federal Reserve System, said in a statement after a policy meeting.

The FOMC reiterated its commitment to supporting maximum employment and returning inflation to its 2 percent objective.

In support of its goals and in light of the shift in the balance of risks, the Committee decided to lower the target range for the federal funds rate by 1/4 percentage point to 4 to 4‑1/4 percent, the statement said.

All 12 members of the FOMC, including Lisa Cook and Stephen Miran, attended the meeting. While 11 members voted for the 25-basis-point cut, Miran voted against the action, preferring a 50-basis-point cut.

On Monday, the U.S. Senate narrowly confirmed Stephen Miran, one of Trump's top economic advisers, to serve on the Federal Reserve Board of Governors, succeeding Adriana Kugler who resigned from the board in early August.

On Wednesday, the Federal Reserve also released its Economic Projections, revealing that the "dot plot" indicates nine out of the 19 Fed policymakers anticipate two more rate cuts this year.

Fed Chair Jerome Powell also attended a press conference after the FOMC meeting.

When asked how the Federal Reserve can maintain its independence with the join of Miran, Powel said the Fed remains committed to maintaining its independence from politics.

For future Fed actions, Powell said the Fed was right to wait and did not need to move quickly on rates.

U.S. President Donald Trump on Monday reiterated his call for rate cuts, writing in a post on his Truth Social account that Powell "MUST CUT INTEREST RATES, NOW, AND BIGGER THAN HE HAD IN MIND."

Trump has repeatedly criticized Powell and pressed the Federal Reserve to cut interest rates since the start of his second term in January 2025.

US Fed makes first rate cut of this year, indicates more cuts ahead

US Fed makes first rate cut of this year, indicates more cuts ahead

US Fed makes first rate cut of this year, indicates more cuts ahead

US Fed makes first rate cut of this year, indicates more cuts ahead

US Fed makes first rate cut of this year, indicates more cuts ahead

The 6th China International Consumer Products Expo (CICPE) ongoing in Haikou of China's southernmost island province of Hainan started its three public days on Thursday, arousing great interest from visitors with the latest sci-tech innovations and cutting-edge applications.

This year's expo features more than 200 global consumer product debuts and first launches, with many exhibitors bringing real-life consumption scenarios directly into the exhibition hall.

A number of duty-free sales companies have gathered at the expo, setting up on-site "buy now, pick up immediately" consumption zones.

Technology and smart products keep capturing consumers' attention.

In the consumer technology exhibition area, booths featuring AI glasses, smart robots, massage chairs and other products are seeing steady foot traffic and brisk sales.

"At this expo, we have launched and debuted an auditory mode targeting people with hearing impairments or hearing difficulties. Our auditory mode provides a solution for barrier-free communication for such individuals," said an exhibitor named Jiang Zhizheng.

"This pair of AI glasses has real-time translation, navigation, and music-listening functions. I think people of our age are all interested in new things. For example, recently Haikou has also introduced driverless vehicles -- everyone is very interested in that," said a consumer named Yang Muzi.

Many overseas products are now incorporating traditional Chinese cultural elements into their product designs to better meet the demands of the Chinese consumer market.

"This peacock represents our Chinese culture. Through the expo, we can better hear consumers' voices, which is very conducive to promoting our brands," said an exhibitor named Xu Xuelan.

The CICPE is China's only national-level consumer products exhibition and the largest consumer expo in the Asia-Pacific region. Since its launch in 2021, the expo has become an important platform for multinationals to stay abreast of consumer trends in China's gigantic market, with over 3,800 enterprises and more than 12,000 brands from 92 countries and regions participating over the past five editions.

Hainan consumer products expo starts public days

Hainan consumer products expo starts public days