The Fed on Wednesday announced its second interest-rate cut of 2025, reducing borrowing costs in a move to spur U.S. hiring.

Last month, the Federal Open Market Committee (FOMC), a policymaking body at the Fed, projected two additional quarter-point rate cuts over the remainder of the year. By contrast, Trump has called for rate cuts totaling as much as 3 percentage points. Trump has carried out a pressure campaign at the Fed with little precedent.

The Federal Reserve will almost certainly cut its key interest rate on Wednesday and could signal it expects another cut in December as the central bank seeks to bolster hiring

The Federal Reserve on Wednesday cut interest rates by a quarter point for the second meeting in a row, signaling policymakers are still more concerned about the labor market than inflation. The widely expected cut lowered rates to a new range of 3.75% to 4%. It’s the first time since 2022 that rates set by the Fed have dipped below 4%.

The Fed Reserve cut its key interest rate this week as it continues driving in the dark amid the ongoing shutdown.