The Fed could cut interest rates tomorrow - here's how it would hit your wallet

"The Federal Reserve has one more decision in 2025 - and it will set the tone for where interest rates will go in the new year. On Wednesday, leaders at the central bank will decide whether to continue cutting rates or put a pause on loosening monetary policy. The call will have ripple effects across consumer prices, the job market, and Corporate America."

"But slicing rates isn't a sure thing. The final Federal Open Market Committee meeting of 2025 will follow the record-long government shutdown, which upended job stability for federal workers and disrupted data releases, including on unemployment and inflation. Even with the government open again, federal agencies like the Bureau of Labor Statistics continue to delay or have canceled their reports. It leaves the Fed's decision makers without a full picture of US economic health."

Federal Reserve leaders will decide at the final 2025 meeting whether to cut interest rates or pause policy easing, a choice that will affect consumer prices, the job market, and Corporate America. CME FedWatch indicated roughly a 90% chance of a quarter-point cut. A record-long government shutdown disrupted data collection, preventing publication of key reports such as October CPI and unemployment and delaying November jobs and inflation data. Federal agencies continue to delay or cancel some releases. Policymakers face an incomplete picture of US economic health and may rely on last-minute reports to inform their decision.

Read at Business Insider