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Snapshot 5:Fri, Nov 8, 2024 6:01:44 PM GMT last edited by MattKalman

Fed Cuts Rates, Markets Soar After Trump Victory

Fed Cuts Rates, Markets Soar After Trump Victory

Fed Cuts Rates, Markets Soar After Trump Victory
Above: Jerome Powell, chairman of the US Federal Reserve, during a news conference Nov. 7, 2024. Image copyright: Ting Shen/Contributor/Bloomberg via Getty Images

The Spin

TheAll marketit rallytook reflectswas strongfor confidenceTrump into Trumpget reelected to get America back on a positive roll. In addition to the Fed's pro-businessinterest agendarate cut, includingmajor proposedmanufacturers taxannounced cutsthey're andbringing deregulationjobs policiesback thatto couldthe boostUS corporateand profitsChina andannounced economicit growth.wants Theto combinationhave ofbetter Fedrelations. rateIn cutsaddition, andnumerous Trump'swarring business-friendlyparties policiesoverseas createshave anannounced optimala environmentdesire for riskpeace. assetsThe andUS continuedis marketback, expansionbaby.

TheDon't Federalstart Reservecelebrating maintainsthis itsannouncement independenceas andsome data-drivensort approach,of regardlessproduct of politicalTrump's changesreelection just yet. TheThis centralcut bankwas made possible because inflation significantly cooled under the Biden administration. But there's focusa remainssoftening strictlyjob onmarket, itsand dualif mandateTrump goes through with some of pricehis stabilitypromised andeconomic maximumpolicies employment,another withrate Powellcut emphasizingmay thatnot electioncome, outcomesor haveworse, nothe immediateeconomy effectcould onhead monetaryin policythe decisionsopposite direction.


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© 2025 Improve the News Foundation. All rights reserved.Version 6.17.0

© 2025 Improve the News Foundation.

All rights reserved.

Version 6.17.0