Jobs Slowdown Triggered Fed Rate Cut, Jerome Powell Says

The U.S. central bank cut interest rates this past week in response to weakening labor market conditions, Federal Reserve Chair Jerome Powell confirmed.

Following the Sept. 16-17 meeting, the Federal Open Market Committee (FOMC) lowered the benchmark policy rate by a quarter point to a new target range of 4.00 percent to 4.25 percent—the first reduction of the year.