Lena Petrova: Fed Cuts Rates, Money Printing Starts on December 12

The Federal Reserve’s recent announcement of a quarter-point interest rate cut—lowering the benchmark federal funds rate to a range of 3.5% to 3.75%—has sparked a wave of analysis. While the move appears to be a standard easing tactic to support the economy, the story behind the decision reveals a Fed grappling with internal divisions, evolving economic risks, and complex political dynamics. This blog post breaks down the implications of the rate cut and what lies ahead for the U.S. economy. The rate cut was passed with a 9-to-3 vote, highlighting stark disagreements within the Federal Open Market Committee (FOMC). Some members argued…