The Federal Open Market Committee (FOMC) voted 11–1 in favor of cutting the federal funds rate by 25 basis points to a range of 4%–4.25%, with Governor Stephen Miran casting the lone dissenting vote.
This marked Miran’s first meeting since being appointed to the Fed’s Board of Governors by President Donald Trump. Miran had argued for a more aggressive move, reflecting Trump’s push for the central bank to lower interest rates at a faster pace.
By contrast, Governors Michelle Bowman and Christopher Waller, who dissented at the July meeting in favor of a 25 bps cut, aligned with the majority this time, supporting the reduction.
The outcome underscores divisions within the Fed over the pace of monetary easing, even as policymakers signaled a 2025 funds rate forecast of 3.6%, slightly lower than the previous 3.9% projection.
Markets now await further guidance from Chair Jerome Powell’s press conference, where he is expected to address the split and outline the path ahead for monetary policy.
