EPISODE · Sep 19, 2025 · 11 MIN
Fed Cuts Rates Amid Rising Labor Market Risks
from The Breakdown · host Blockworks
The Federal Reserve delivered its first rate cut since last November, reducing the target range to 4–4.25% as weakening labor data outweighed inflation concerns. Chair Powell framed the move as a “risk management cut” and an adjustment toward neutral, while politics loomed large with Trump-aligned voices pushing for deeper cuts. Markets and analysts were left uncertain about whether this is the start of an easing cycle or simply a preemptive move in a bifurcated economy driven by AI investment on one side and labor market softness on the other.
What this episode covers
The Federal Reserve delivered its first rate cut since last November, reducing the target range to 4–4.25% as weakening labor data outweighed inflation concerns. Chair Powell framed the move as a “risk management cut” and an adjustment toward neutral, while politics loomed large with Trump-aligned voices pushing for deeper cuts. Markets and analysts were left uncertain about whether this is the start of an easing cycle or simply a preemptive move in a bifurcated economy driven by AI investment on one side and labor market softness on the other.
NOW PLAYING
Fed Cuts Rates Amid Rising Labor Market Risks
No transcript for this episode yet
Similar Episodes
Mar 26, 2026 ·1m
Mar 19, 2026 ·34m
Feb 18, 2026 ·11m
Feb 11, 2026 ·45m