By Blake Haas

BLOOMINGTON – For the first time since 2008, the Federal Reserve cut interest rates on Tuesday by 50 basis points, and one local financial advisor was surprised with the move.

Reflecting fears of the Coronavirus led the Federal Reserve to cut interest rates by 50 basis points. IPI Wealth Management Financial Advisor Sean Craig said outside markets mostly influenced the move by the Federal Reserve.

“I think they’re getting more reports of economic reports, but mostly outside the United States,” said Craig. “Everyone thought that the United States was not going to do this, then this surprise cut. So it was a little bit of a surprise.”

Craig added that another interest rate could happen later this month at the next Federal Reserve meeting.

“Well it depends, they are saying right now they (Federal Reserve) may cut again at their March 17 and 18 meeting,” said Craig. “So, if they are going to cut again, they did 50 Basis points, but this is the same cut that the Bank of Australia also just recently did. I think they are just following in line with what others are doing. But, I think if they do another one here on March 17, 18, that would be a lot in one month.”

The Federal Reserve is cutting but must further ease and, most importantly, come into line with other countries/competitors. We are not playing on a level field. Not fair to USA. It is finally time for the Federal Reserve to LEAD. More easing and cutting!

— Donald J. Trump (@realDonaldTrump) March 3, 2020

President Donald Trump has called for lower interest rates to stay competitive with other global banks.

Blake Haas can be reached at [email protected].