Washington: The US Federal Reserve on Thursday reduced interest rates by 25 basis points to the range of 4.5%-4.75%. This decision marks the second rate cut by the central bank in four years, following the onset of the coronavirus pandemic. According to Anadolu Agency, the Federal Reserve previously lowered rates by 50 basis points in September, a move that surpassed market expectations. The Federal Open Market Committee (FOMC) indicated that recent indicators show economic activity continuing to expand at a solid pace. The statement also noted that while labor market conditions have generally eased, the unemployment rate has increased slightly but remains low. Additionally, inflation has progressed toward the Committee's 2 percent objective, although it remains somewhat elevated.