Financially strapped Americans saw a glimmer of hope for their financial futures when the Federal Reserve cut its benchmark interest rate by a surprising half percentage point on Wednesday, heralding the end of the fight against inflation after two years of high rates.
However, when Republican nominee Donald Trump's running mate JD Vance was about to respond to a question at a recent rally about the rate cut, which was the first in four years since COVID took a major toll on the economy, his MAGA supporters reacted with an eye-raising yet unsurprising audible response.
They booed.
Since 2021, the rate has lingered on a 5.3% level high.
With the key lending rate now lowered by 50 basis points to a range of 4.75% to 5%, the move will benefit the finances of millions of Americans by lowering borrowing costs on mortgages, credit card debt, auto loans, and saving rates.
The influence over time will also help stimulate and incentivize growth and spending.
But leave it to the woefully ignorant MAGA contingent to shoot down a basic concept they don't understand, particularly an economic development envisioned to help average US citizens. All presumably because it is a win for the Biden-Harris administration.
You can watch a clip of Trump and Vance supporters booing at news of the cut on interest rates here.
When a reporter asked Vance his reaction to news about how the Fed's cut would "alleviate inflation for a lot of people," Trump's VP pick paused until the rally crowd expressed their disapproval.
He then replied:
"My reaction is that half a point is nothing to what an American families have been dealing with for the last three years."
To which the crowd cheered.
On social media, users face-palmed and weighed in on what they thought was peak MAGA mentality.
The Federal Reserve's policymakers are expecting to slash the key rate by an additional half point in meetings in November and December, followed by more cuts envisioned in the next couple of years.
In a news conference, Fed Chair Jerome Powell, a senior economist at LendingTree, expressed enthusiasm for getting closer to victory over inflation, saying:
“We know it is time to recalibrate our (interest rate) policy to something that’s more appropriate given the progress on inflation,”
“We’re not saying, ‘mission accomplished’ ... but I have to say, though, we’re encouraged by the progress that we have made."
He added that the U.S. economy was "in a good place,” and that their decision Wednesday was "designed to keep it there.”
And, cue the rightful applause.