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The Federal Reserve & Me

Starting in December 2016, the U.S. Federal Reserve (the Fed) had been gradually increasing interest rates (specifically, the federal funds rate), until it reached a high two years later in December last year of 2.25–2.50%. As of last month, that changed: The Fed lowered interest rates by 0.25%. This move was the first rate decrease since the thick of the 2008 recession. While the move was expected, it nevertheless received wide media coverage accompanied by the usual outpour of opinions on whether it will be a blessing or curse to financial markets. As of today, the President is urging the Fed to further decrease rates to zero “or less”.