Part 2/6:
Following the announcement, the Fed issued a statement noting that economic growth had tempered in the first half of the year. This moderation suggests that a future rate cut may be appropriate, but for now, the Committee is monitoring incoming data to guide policy decisions. Chair Jerome Powell emphasized that the Fed's stance will be "based on the incoming data, the evolving outlook, and the balance of risks." He pointed out that changes in government policies, particularly tariff implementations, are still unfolding, and their impacts on inflation and economic activity are uncertain.