Fed cuts interest rates by 25 basis points, US Dollar hits lowest since February 2022

On September 18, 2025, the Federal Reserve officially cut interest rates by 25 basis points, marking the first reduction of this kind in 2025. The decision was attributed to a weaker labor market.

Following the announcement, the US Dollar fell to its lowest level since February 2022.

For further context on recent developments in the economy, see our coverage on the UK securing £150B in US investments, which is expected to create 7,600 jobs.

The implications of the Fed"s decision and the current state of the labor market remain to be seen.

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