The Federal Reserve cut its benchmark interest rate by a quarter point on Oct. 29, 2025, marking its second rate reduction this year. The move comes amid a complex economic landscape characterized by a cooler-than-expected inflation on one hand and a weakening labor market on the other, further complicated by the recent government shutdown that has limited the economic data available to policymakers. While Fed Chair Jerome Powell indicated that a further cut in December is "not a foregone conclusion," the c ...