CIO Notebook: Fed Makes A Move, Adds Fuel For Future Cuts

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US EconomySep. 19, 2025 3:05 AM ETACTV, AFMC, AFSM, ARKK, AVUV, BAPR, IVOO, IVOV, IVV, IVW, IWC, IWM, IWN, IWO, IWP, IWR, IWS, IYY, QQQ, SPLV, SPMD, SPMO, SPMV, SPSM, SPUS, SPUU, SPVM, SPVU, SPXE, SPXL, SPXN, SPXS, SPXT, SPXU, SPXV, SPY, SPYD, SPYG, SPYV, SPYX, SQEW, SQLV, SSO, SSPY, SVAL, SYLD, TMDV, TPHD, TPLC, TPSC, UAUG, UJAN, UMAR, UMAY, UOCT, UPRO, USMC, USMF, USVM, MAGS, TLT, TLH, EDV, SPTL, ZROZ, VGLT, LGOV, SCHQ, TFJL, TBJL, GOVZ, TBT, TMV, IEF, SHY, TBF, TMF, PST, TTT, IEI, BIL, TYO, UBT, UST, UTWO, VGSH, SHV, VGIT, GOVT, SCHO, TBX, SCHR, GSY, TYD, VUSTX, SYSB, GBIL, SGOV, SPTS, UDN, USDU, UUP, RINF, AGZ, FTSD, LMBSNeuberger Berman3.21K FollowersThe Federal Open Market Committee’s (“FOMC”) decision to cut the fed funds target rate by 25 basis points to 4.0% to 4.25% was no real surprise.The dot plot signals two more rate cuts in 2025, but uncertainty persists regarding the future path of rates, inflation, and employment.Changes in the dot plot reflect not only Wednesday’s interest cut but also a more accelerated pace moving through 2028.Richard Drury/DigitalVision via Getty ImagesBy Shannon L. Saccocia, CFAThe decision was primarily driven by the committee judging that slower job gains and higher unemployment outweighed inflation concerns, prompting a more accommodative policy stance.Fed Chair Jerome Powell’sThis article was written byNeuberger Berman3.21K FollowersNeuberger Berman, founded in 1939, is a private, independent, employee-owned investment manager. The firm manages a range of strategies—including equity, fixed income, quantitative and multi-asset class, private equity and hedge funds—on behalf of institutions, advisors and individual investors globally. With offices in 23 countries, Neuberger Berman’s team is more than 2,100 professionals. For five consecutive years, the company has been named first or second in Pensions & Investments Best Places to Work in Money Management survey (among those with 1,000 employees or more). Tenured, stable and long-term in focus, the firm has built a diverse team of individuals united in their commitment to delivering compelling investment results for our clients over the long term. That commitment includes active consideration of environmental, social and governance factors. The firm manages $323 billion in client assets as of March 31, 2019. For more information, please visit our website at www.nb.com.For important disclosures: https://www.nb.com/disclosure-global-communications  Contact Us: Advisor Solutions (877) 628-2583 advisor@nb.com RIA & Family Office (888) 556-9030 riadesk@nb.comCommentsRecommended For You