The Federal Reserve has just officially announced a 25 basis point cut, and the federal funds rate target range is now at 3.5% - 3.75%. To be honest, this number is still far from the less than 2% that a certain former President had in mind, missing by quite a bit.

The market is now speculating that in 2026, the Fed might only symbolically cut rates once or twice, but I think this prediction is somewhat conservative. After all, those with influence know very well the extent of their pressure capabilities.

The full Q&A transcript from Powell's recent press conference has been released, and I recommend macro-focused friends to read it carefully. Every subtle change in monetary policy has a significant impact on our circle. At this stage, every statement from the Fed can basically influence short-term market movements.

Ultimately, when interest rates can truly fall to the market-expected levels still depends on inflation and employment data over the next year or two. It's too early to draw conclusions now, but the direction is clear — it's just a matter of the pace.