🔗 Share this article Fed Cuts Primary Benchmark Rate by a Quarter Point America's Federal Reserve has implemented a cut in its policy rate by a quarter point, marking the initial such adjustment this year. Market Reaction Tepid Trading activity to the move and following press conference has been fairly muted. Key stock markers at first rose before losing momentum throughout the event. As a result, the Dow Jones unchanged, the S&P 500 dropping 0.6%, and the Nasdaq Composite off by about one percent. Complex Perspective for Investments Markets tend to like cheaper borrowing—though a economic softness wouldn't be good news either. Although the jobless rate holds steady, Powell has highlighted "downside" risks to the employment landscape following a summer cooldown.