Federal Reserve cuts interest rate by 0.25 percentage points for third time

The Federal Reserve cut its benchmark interest rate by 0.25 percentage points, lowering it to between 3.5% and 3.75%. This marks the third consecutive cut since September, totaling a reduction of 0.75 percentage points this year. The decision comes amid weak job growth and rising inflation, despite limited government economic data due to a recent shutdown.

CIBC's Gary Pzegeo noted, "Employment growth remains slow, and inflation data seems reasonable given the previous concerns." The Fed aims to stimulate hiring by making credit cheaper, which could help consumers and the overall economy.