Fed lowers key interest rate by a fourth
In a move aimed at prioritizing employment over inflation concerns, the Federal Open Market Committee (FOMC) has announced a quarter-point reduction in interest rates. This decision was in line with Wall Street expectations and comes after several economic reports showing hiring in the US has cooled sharply in recent months, with job gains slowing and the unemployment rate edging up.
The new benchmark federal funds target range is now 4% to 4.25%. This reduction in borrowing costs is expected to stimulate economic growth and potentially lead to a rise in housing, as suggested by a message from President Donald Trump on his Truth Social platform. Trump had urged the Federal Reserve to drastically lower borrowing costs, stating that the Federal Reserve should cut interest rates "bigger than he had in mind."
The FOMC's statement suggests a commitment to keeping Americans employed, with the balance of risks having shifted in favor of prioritizing employment. This shift in focus is particularly significant given the recent attempts by President Trump to fire Fed governor Lisa Cook over allegations of mortgage fraud, which she has denied.
In a separate event last month, Trump attempted to fire Cook over these allegations. However, the name of the Fed governor whom President Trump tried to fire is Lisa Cook.
Meanwhile, the impact of President Trump's tariffs on inflation has been measured. In the midst of these economic developments, the financial landscape in Dublin is also undergoing changes. A Georgian office investment property in Dublin is seeking €800,000 for sale, while Elmpark office investment in Dublin is back for sale with a reduced €18.5m price tag.
In a notable development, a German investor has initiated a €70m redevelopment of Meta's former Dublin headquarters. The Financial Times Limited owns the copyright for the article in 2025.
