Weak Jobs Report Strengthens Case for Rate Cut

The latest jobs report from August has revealed a meager gain of 22,000 jobs and a nearly 4-year high in unemployment rates, setting the stage for a potential rate cut by the Federal Reserve. This disappointing data has fueled expectations among investors for a rate cut in September, as reported by MarketWatch.

Economists have been closely monitoring the job market as a key indicator of the country's economic health. A weak jobs report could potentially signal a broader economic slowdown and provide justification for the Fed to lower interest rates in an attempt to stimulate growth.

According to The New York Times, a weak jobs report would further strengthen the case for rate cuts, as policymakers weigh the impact of the ongoing trade war with China and other global economic uncertainties.

As investors eagerly await the Federal Reserve's decision on interest rates, the job market remains a crucial factor in determining the direction of the economy. Stay tuned for further updates on how this latest report will impact the upcoming rate decisions.

Category: Finance

Published on: 2025-09-05 12:39:25


Related articles:
Jobs report shows 22,000 gain in August and unemployment hits nearly 4-year high. Weak hiring tees up Fed rate cut., MarketWatch
A weak jobs report would strengthen the case for rate cuts., New York Times
It will take a doozy of a jobs report to derail investor expectations for a September rate cut, MarketWatch


Tags: jobs report rate

Fed officials hint at possible rate cut to combat slowing economy

In the midst of a struggling economy, Federal Reserve officials are hinting at a possible rate cut to stimulate growth and combat inflation. With tariffs not amplifying inflation as previously feared, the door is being left open for a rate cut in September.

One way the Fed could potentially lower mortgage rates almost overnight, without the rate cut President Trump desires, is through balance sheet policy adjustments. By purchasing mortgage-backed securities, the Fed could lower mortgage rates to encourage borrowing and spending.

Fed officials are facing pressure to take action as the economy shows signs of slowing down. While the exact timing and extent of a rate cut remain uncertain, the possibility is looming larger as the Fed navigates the current economic landscape. Stay tuned for further updates on the Fed's decisions and their impact on the economy.

Category: Finance

Published on: 2025-09-04 17:00:26


Related articles:
Here’s one way the Fed could lower mortgage rates almost overnight — and it’s not the rate cut Trump wants, MarketWatch
Fed’s Williams says tariffs are not amplifying inflation, keeping door open for possible rate cut in September, MarketWatch
Fed officials struggle to explain slowing economy, adding to the sense a rate cut is coming, MarketWatch


Tags: fed rate cut

Fed Plans Series of Interest Rate Cuts to Stimulate Economy

In a bold move to boost the economy, the Federal Reserve has announced plans for a series of interest rate cuts over the next six months. Earlier this week, Fed Governor Christopher Waller backed the decision, citing the need for aggressive measures to spur economic growth.

While Waller's support for rate cuts may be good news for stocks, some experts are cautioning that the economy may not actually need the stimulus. Despite a slight increase in the U.S. inflation gauge, it may not be enough to deter the Fed from lowering interest rates.

With all eyes on the upcoming jobs report, analysts are speculating about the impact on the Fed's decision-making process. A weak report could prompt further cuts, while a strong one may temper the rate reductions.

In the meantime, many are wondering how the Fed's actions will affect mortgage rates. Some predict that rates could fall even before the anticipated rate cuts in September 2025.

As the Fed prepares to cut rates, financial advisors are urging individuals to boost their cash reserves, even if it means earning less on their money. With uncertainty looming, it's better to be prepared for any economic changes on the horizon.

Category: Finance

Published on: 2025-09-03 17:48:32


Related articles:
Why mortgage rates may fall before the September Fed rate cut is issued, CBS News
A weak August jobs report will tee up the Fed to reduce interest rates. A poor one may spur even more cuts., MarketWatch
How low will mortgage rates fall with a September Fed rate cut? Here's what to know., CBS News
Why you still need to boost your cash reserves — even if a Fed rate cut makes your money earn less, MarketWatch
Only a really big jobs report might stop the Fed from cutting interest rates. Don’t count on it., MarketWatch
Key U.S. inflation gauge creeps higher, but not enough to stave off Fed interest-rate cut, MarketWatch
Yes, rate cuts will be good for stocks. But here’s why it means the Fed will be stimulating an economy that doesn’t need it., MarketWatch
Fed’s Waller backs a series of interest-rate cuts over the next six months, MarketWatch


Tags: fed rate cut

Interest Rates Expected to Fall in Fall 2025

According to the latest forecasts, interest rates for various financial products are expected to fall in the fall of 2025.

CD account interest rates are predicted to decrease by a significant margin, providing potential investors with lower return rates on their savings. Mortgage interest rates are also forecasted to fall, potentially making it a favorable time for individuals looking to purchase a home or refinance their existing mortgage.

For homeowners considering a home equity loan, the forecast also predicts a decrease in interest rates for fall 2025. This news could be beneficial for those looking to tap into their home equity for major expenses such as home renovations or debt consolidation.

Overall, the anticipated fall in interest rates for fall 2025 may present opportunities for consumers to save money on borrowing and investing. However, it is important for individuals to stay informed and consult with financial advisors to make informed decisions based on their unique circumstances.

Category: Finance

Published on: 2025-08-27 13:30:24


Related articles:
What's the home equity loan rate forecast for fall 2025?, CBS News
What's the mortgage interest rate forecast for fall 2025?, CBS News
What's the CD account interest rate forecast for fall 2025?, CBS News


Tags: rate forecast fall 2025

Experts Debate Impact of Potential September Rate Cut on Homebuyers

As the Federal Reserve considers a possible rate cut in September, experts are divided on how it will affect homebuyers. Some warn against making any hasty decisions before the anticipated cut, while others caution against overreacting to the news.

According to CBS News, some homebuyers may be tempted to delay their purchase in hopes of getting a better deal after the rate cut. However, MarketWatch reports that a jumbo rate cut could be perceived as a panicky move by the Fed, potentially causing more harm than good.

Meanwhile, Federal Reserve Chairman Jerome Powell is set to deliver a speech at the Jackson Hole economic symposium, where many are expecting him to provide clues about the central bank's plans for September. MarketWatch speculates that Powell may use this opportunity to push back on expectations for a rate cut.

As the debate continues, homeowners are also weighing their options for financing. CBS News explores whether a $100,000 home equity loan or a $100,000 HELOC would be cheaper following a potential rate cut in September.

With uncertainty looming, experts urge caution and careful consideration before making any major financial decisions.

Category: Finance

Published on: 2025-08-15 14:18:28


Related articles:
$100,000 home equity loan vs. $100,000 HELOC: Which will be cheaper after a September rate cut?, CBS News
Will Powell use Jackson Hole speech to push back on hopes for September rate cut?, MarketWatch
Why a jumbo Fed rate cut in September would ‘come across as panicky’, MarketWatch
What homebuyers shouldn't do before a September rate cut, according to experts, CBS News


Tags: september rate cut

Fed Leans Towards September Rate Cut Despite Opposition

Federal Reserve officials are divided on whether or not to cut interest rates in September, with Minneapolis Fed President Neel Kashkari joining others in leaning towards a rate cut. Kashkari, along with other officials, believes that the risks of slowing global growth and trade tensions outweigh concerns about inflation. This sentiment is in line with recent job reports showing a slowdown in hiring and a potential economic downturn on the horizon.

However, some analysts argue against a September rate cut, citing strong economic indicators and a lack of necessity for further stimulus. They predict that the Fed may stay on hold until 2026, waiting for more concrete evidence of a need for intervention.

Despite the dissenting opinions, the possibility of a September rate cut still looms large as the Fed weighs the potential benefits and risks. Investors and analysts will be closely watching the upcoming Federal Reserve meeting for clues on the central bank's next steps in adjusting interest rates.

Category: Finance

Published on: 2025-08-06 14:27:24


Related articles:
Kashkari joins other Fed officials in leaning toward September rate cut, MarketWatch
Here’s the case against a September rate cut — and why the Fed could stay on hold until 2026, MarketWatch
Weak Jobs Report Raises Chances of a September Interest Rate Cut, New York Times


Tags: september rate cut

Trump Returns from Scotland, Shifts Focus to Fed Rate Cuts

President Trump has returned from his trip to Scotland and is now closely eyeing the Federal Reserve's decision on rate cuts, as the crucial trade week unfolds. The President's attention has shifted to the Fed after his discussions with world leaders at the G7 summit in Scotland.

The decision on rate cuts by the Federal Reserve Chair, Jerome Powell, is now in the spotlight as Trump looks to boost the economy amidst global uncertainties. The President has been vocal about his desire for aggressive rate cuts to stimulate economic growth and counter potential impacts of the ongoing trade negotiations.

Analysts are closely monitoring the Fed's decision, as it could have significant implications on the economy and financial markets. Powell's approach to rate cuts will be crucial in determining the direction of monetary policy and its impact on inflation and employment.

As Trump navigates the complex trade negotiations ahead, his focus on the Fed's decision underscores the interconnectedness of economic policies and global trade dynamics. The coming days will be pivotal as the President and the Fed navigate the challenges of a shifting economic landscape.

Category: Politics

Published on: 2025-07-29 09:06:26


Related articles:
Powell Under Siege as Fed Plans to Stand Pat on Rate Cuts, New York Times
After Scotland, Trump enters crucial trade week and eyes Fed's decision on rate cuts, Fox News
Back from Scotland, Trump enters crucial trade week and eyes Fed's decision on rate cuts, Fox News


Tags: fed rate cuts

Federal Reserve Pauses Rate Cuts in 2025 as Inflation Surpasses 2% Target

The Federal Reserve has decided to hit pause on rate cuts for the time being, following a year where inflation finished well above the central bank's 2% target. Despite calls for further rate cuts to stimulate economic growth, the Fed's decision reflects a cautious approach in light of the latest data.

In a statement released following their meeting, the Federal Reserve cited concerns over rising inflation as a key factor in their decision. The decision comes as a surprise to many who had expected additional rate cuts in response to mounting economic challenges.

The move also marks a departure from President Trump's stance on interest rates, as he had been vocal in urging the Fed to continue cutting rates to boost the economy. The Fed's decision to pause rate cuts underscores the central bank's independence and commitment to maintaining price stability.

As uncertainty looms over the economy in 2025, the Fed's decision to pause rate cuts signals a cautious approach to economic policy. While the future remains uncertain, the central bank's actions will be closely monitored for their impact on inflation and economic growth.

Category: Finance

Published on: 2025-01-31 13:36:29


Related articles:
Inflation finishes 2024 well above Fed’s 2% target, PCE shows. Rate cuts on hold., MarketWatch
Here's the financial impact of the Fed's expected pause on rate cuts, CBS News
The Fed Is About to Hit Pause on Rate Cuts. Here’s Why., New York Times


Tags: fed rate cuts

Surprise Dip in UK Inflation to 2.5% Opens Door for Interest Rate Cut

In a surprising turn of events, the UK has experienced a dip in inflation, easing pressure on Chancellor Rachel Reeves. The latest figures show a drop in inflation to 2.5%, giving the Bank of England room to consider a potential interest rate cut.

The news comes as a relief to many economists and policymakers, who have been grappling with the challenge of balancing price stability and economic growth. The unexpected fall in inflation is seen as a positive sign for the economy, indicating that the recent surge in prices may be leveling off.

This development has opened up the possibility of an interest rate cut, which could provide further stimulus to the economy. The Bank of England will now have to carefully weigh the implications of reducing rates, taking into account factors such as employment levels and wage growth.

Overall, the dip in inflation is seen as a welcome reprieve for the UK economy, offering some much-needed breathing room for policymakers. As the nation navigates the uncertainties of a post-pandemic world, this development could pave the way for a more stable and sustainable economic recovery.

Category: Finance

Published on: 2025-01-15 20:51:28


Related articles:
Surprise fall in inflation boosts interest rate cut hopes, BBC News
Fall in UK inflation to 2.5% paves way for Bank of England rate cut, The Guardian
Dip in UK inflation offers respite for Reeves and paves way for interest rate cut, The Guardian


Tags: inflation rate cut

December Jobs Growth and CPI Report Hint at Delay in Fed Rate Cut

The surprising increase in December jobs growth and the latest Consumer Price Index (CPI) report have shifted expectations for a Federal Reserve rate cut in the first half of the year.

According to recent data, the US economy added more jobs than expected in December, denting the chances of an early rate cut by the Fed. The impressive jobs growth indicates a stronger labor market than previously anticipated, leading to speculation that the central bank may hold off on reducing interest rates in the near future.

Additionally, the CPI report for December 2024 revealed a rise in inflation, further complicating the Fed's decision-making process. With inflation on the rise, the Fed may be cautious about lowering rates too soon, as it could potentially exacerbate price pressures.

These developments come at a critical time for the economy, as policymakers grapple with the dual challenge of supporting growth while managing inflation. The US inflation rate in December 2024 has raised concerns about the Fed's next steps, leaving investors and analysts eagerly anticipating the central bank's upcoming decisions on interest rates.

Category: Finance

Published on: 2025-01-15 20:51:14


Related articles:
US inflation ticks up in December and remains above Fed’s 2% target rate, The Guardian
CPI edged higher in December, complicating the Fed's rate decision, CBS News
Surprising December jobs growth is denting chances of a first-half Fed rate cut, MarketWatch


Tags: december fed rate