Big news about the US economy is making investors a little nervous! The Federal Reserve, which controls money in the US, might lower interest rates. This usually helps the economy, but things are a bit tricky this time.
- Lower interest rates can make borrowing money cheaper.
- But, this time, lower rates are because the economy isn't doing so well.
- Some people think this might mean a recession (a time when the economy slows down).
| Fact | Number |
|---|---|
| Chance of lower rates in May | 50/50 |
| Russell 2000 Stock Market decline this year | >6% |
| Consumer spending in January | fell for the first time in almost 2 years |
