Fed Poised for Rate Cut Amid Economic and Political Pressures

The Federal Reserve is expected to cut interest rates by 0.25 percentage points on Thursday, marking the second reduction this year following a larger cut in September. This move aims to ease borrowing costs as inflation nears the Fed's 2% target. While the immediate impact on consumers will be minimal, further rate cuts are anticipated, potentially leading to more significant savings for borrowers over time. However, mortgage rates may not decrease as expected due to other economic factors like rising Treasury yields and concerns about U.S. debt.