J.P. Morgan sends strong recession message on Fed interest-rate cut

Thursday, September 18, 2025

To quote Fed Chairman Jerome Powell, "Good afternoon." Happy Thursday.

Today dawned a new world: It's a 4% Federal Funds Rate world -- at least until the Federal Reserve gets around to more cuts. A topic of great discussion since yesterday's 0.25-percentage-point cut, expectations for where the central bank could go in future meetings vary sharply. At the median, it's two more cuts before year-end and one in 2026.

That's, as always, subject to change "based on the data." But for now, analysts' fears that the Fed's Wednesday decision would become a "sell the news" event seem to have been overstated.

Thursday Reading:.

• Amazon Prime users score unexpected break
• Nvidia spending billions to spread its AI dominance
• How buying cookies can earn you a free JetBlue flight
• Moody’s stuns with urgent call on Oracle’s future
• Google makes a harsh decision amid alarming worker dispute
• Claude Creator Anthropic Reveals the Jobs Most Likely To Use AI

At midday the Russell 2000 (+1.77%) and Nasdaq Composite (+1.09%) are up. Not far behind are the S&P 500 (+0.59%) and Dow industrials (+0.28%).

Outside monetary developments, investors are looking for earnings from logistics giant FedEx and homebuilder Lennar after the closing bell.

They can hope the companies did a little better than this morning's two reports: Olive Garden parent Darden Restaurants and financial data company FactSet are among the worst-performing stocks in the S&P 500 today after their respective prints.

TurboTax Via TheStreet:

• How to claim an elderly parent as a dependent
• How cryptocurrency investments are taxed
• Inheritance taxes and how to file a final return for someone who died

-- Noah Weidner, Markets Reporter

J.P. Morgan sends strong recession message on Fed interest-rate cut

Miran’s dissent, Trump’s pressure, rising inflation all add up.

[READ ARTICLE]

EDITOR'S PICKS

Markets 📉

Stock Market Today: Welcome Back, 4%

Investors will have their first full day of marinating on the Fed cut, future outlook

Scott Galloway warns Americans on worst-case inflation worry

The New York University professor makes a key statement on the U.S. economy.

Daily Deals 💥

REI is selling a Columbia jacket that 'packs perfectly' for only $30

"The perfect windbreaker for travel!"

Amazon is selling a portable outdoor generator for $80 that's a 'reliable powerhouse'

"It's perfect for camping trips, power outages, road trips, or remote working from anywhere."

Investing 💰

American Express just made a controversial change to its flagship Platinum card

Cardholders might love their Amex, but they probably won't like this change

First U.S. XRP ETF gets greenlight: Here's how to buy it

This is a simple guide for anyone who wants to buy XRP ETF which will launch on Sept.18.

PREMIUM PICKS: TIPS FROM THE EXPERTS 🔑

Here’s the ‘Twist’ on the Fed as I Bet It Has to Cut Faster Than Market Expects

We're Calling Up This Aging Population Play After Fed Policy Shift

You can update your preferences  or unsubscribe from this list.

Terms of Use  |  Privacy Policy

©2025 TheStreet, Inc.

200 Vesey Street, 24th Floor, New York, NY 10281