The US central bank just made it cheaper for banks to borrow cash

The US central bank has lowered the interest rate it charges banks for short-term loans. This makes it less expensive for banks to borrow money when they need it quickly.

When banks can borrow money more cheaply from the central bank, they are more likely to lend that money out to businesses and consumers. This can encourage more economic activity. It also signals the central bank's view on the overall health of the financial system.