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at 2 a.m. beijing time on thursday (september 19), the federal reserve announced that it would lower the target range of the federal funds rate to 4.75%-5.00%, launching the first rate cut since march 16, 2020 with a "big" step of 50 basis points. the long-awaited policy shift has finally arrived.

after the fed announced the above rate cut, the three major u.s. stock indexes initially rose, but then quickly gave up their gains and turned to decline. by the close, the dow fell 103 points, or 0.25%, and the nasdaq composite and s&p 500 both fell about 0.3%. u.s. treasury yields narrowed their climbing momentum earlier in the day.

so, on this night of the fed's interest rate cut that attracted worldwide attention, what key signals did the fed release? in addition to the decision to cut interest rates by 50 basis points, what other key details should not be ignored? below we have summarized the "key points" of the 9 interest rate meetings for readers:

① 50 basis points interest rate cut

before the fed's september interest rate meeting, market participants' expectations had been "jumping back and forth" between whether the fed would cut interest rates by 25 basis points or 50 basis points.the federal reserve voted on wednesday to cut interest rates by 50 basis points in one go, choosing to start with a bolder move for its first rate cut since 2020.the much-anticipated shift follows an all-out fight against inflation launched by the central bank two years ago.