Archive · 11 Dec 2025
US Fed cuts rates amid labor concerns
In October, the number of job openings in the US went up a little bit to 7.6 million, but companies are still not hiring many new people.
This is because they are worried about the economy and there are fewer workers available.
The government also said they had to change how they calculated some of the numbers for October.
Next week, the Federal Reserve is expected to lower interest rates a bit more to help the economy.
The report also showed that hiring actually dropped by 218,000 in October.
All of this means that the job market is not growing much right now.
The Federal Reserve lowered interest rates for the third time this year, showing they are worried about jobs even though prices are still high.
They plan to cut rates at least one more time next year.
Some Fed members disagreed, with a few wanting no cut and one wanting a bigger cut.
They also think the economy will grow a bit more in 2026 but expect prices to rise a little less next year.
US job openings increased by 12,000 to 7.6 million in October.
Hiring in the US dropped by 218,000 to 5.1 million in October.
The Federal Reserve cut interest rates by 25 basis points to a range between 3.50% and 3.75%.
The Fed expects to cut rates at least once more next year and highlighted risks to employment.
Three Fed officials dissented, with two wanting no cut and one advocating for a larger cut.
- Who
- US Federal Reserve, US employers and workers
- What
- Interest rate cut, labor market concerns
- When
- Wednesday, with data release on Tuesday
- Where
- United States
- Why
- Economic uncertainty, reduced worker supply, elevated inflation
- Job Openings
- 7.6 million
- Hiring
- 5.1 million
- Expected Interest Rate Cut
- 25 basis points
- Expected Interest Rate Range
- 3.50%-3.75%
- September Job Openings
- 7.658 million
- September Hiring
- 5.3 million
- Expected Nonfarm Payrolls Release
- Next Tuesday
- 2026 GDP Growth Forecast
- 2.3%
Sources
US job openings: October sees modest growth, hiring remains tepid — what it means for American workers
US job cuts top 1 million as layoffs reach highest level in five years: Report
US Fed Cuts Rates For 3rd Time This Year, Flags Labour Market Concerns
Federal Reserve Reduces Interest Rates For Third Time: Key Impacts On Mortgages And Auto Loans
US Fed cuts rates by 25 bps, bringing benchmark down to 3.5%–3.75%
US Federal Reserve cuts key interest rates for the third time
