Mr. Powell will likely field questions at his news conference Thursday about the presidential race and how it might affect the economy and inflation.
Prices rose just 2.1 percent in September from a year earlier, down from a 2.3 percent rise in August.
Core prices, which typically provide a better hint of future inflation, are up 3.3 percent from a year earlier.
Coming just weeks before the election, the Fed’s move has the potential to scramble the economic landscape just as Americans prepare to vote.
Cooling inflation is providing some relief to America’s consumers, even as its cumulative impact is reflected in stubbornly higher prices for everyday staples.
‘The labor market is weakening,’ an economist says. ‘It is not falling apart, but it is weakening.’
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