The Federal Reserve lowered its benchmark interest rate by 25 basis points on Wednesday, setting the target range at 4% to 4.25%.

The first cut since December 2024 marks a new phase in the central bank’s effort to balance maximum employment and stable prices. Economists say it could usher in an easing cycle with direct implications for housing.

“Recent indicators suggest that growth of economic activity moderated in the first half of the year. Job gains have slowed, and the unemployment rate has edged up but remains low. Inflation has moved up and remains somewhat elevated,” the Federal details ⇒