Reporter Gets Boos At JD Vance Rally After Claiming Rate Cut Could Help Ease Inflation – Here's Why The Crowd Wasn't Buying It

Things got heated at JD Vance's rally in Raleigh, North Carolina. A simple question from a reporter about interest rates turned the crowd against her, sparking loud boos and jeers. The reporter, speaking off-camera, asked about the Federal Reserve's recent rate cut and whether it would help ease inflation for struggling Americans.

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"Really quickly, just on the Fed cutting, it's a very Wall Street Journally question, but the Fed cut the interest rate today by a half a percentage point, going to alleviate inflation for a lot of people. And so if you have any reaction to that?" the reporter asked.

That question didn't sit well with the crowd. Boos erupted almost immediately as Vance prepared to respond. The vice-presidential hopeful waited, letting the audience vent their frustrations before answering.

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"Look, my, my, my reaction is …" Vance began, but the crowd wasn't ready to calm down just yet.

Once the noise finally died down, Vance made his stance crystal clear. "A half a point is nothing compared to what American families have been dealing with for the last three years," he stated. This drew loud cheers from the crowd, signaling their agreement. A small rate cut wasn't enough for many in the audience to fix their problems.

Economists, however, saw the Federal Reserve's move differently. Chief economist at RSM U.S., Joe Brusuelas, gave a more optimistic take, telling the Washington Post, "This will improve the material well-being of all Americans." 

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Brusuelas explained that after three years of aggressive policy, the Fed aimed to return things to normal in a post-pandemic economy. He emphasized that this shift could ease inflationary pressures and provide much-needed relief.

Despite this, former President Donald Trump has been less than enthusiastic about the current economic situation. Instead of celebrating recent stock market highs and increased energy production, Trump has repeatedly warned that the economy is on the brink of disaster unless he's reelected. For many of his supporters, this paints a much grimmer picture than what the Fed’s actions might suggest.

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The conversation around interest rates and inflation continued, with CNN anchor Jake Tapper exploring the real-world effects. In a discussion with CNN Business anchor Julia Chatterley, Tapper asked how much the rate cut would impact everyday Americans.

"It's huge and four-plus years in the making for borrowers," Chatterley responded. "If you own a credit card, your rate on that card will adjust pretty quickly. The problem is, the average rate on a new credit card is around 25%, so even a big cut today, it's sort of a rounding error on a rounding error, and you might not notice the difference."

Chatterley explained that while there could be some relief for those with auto loans or mortgages, the real challenge is the high cost of living. "What it doesn't help with is the overall level of high prices," she added, pointing out that inflation remains stubbornly high despite lower rates. She had one clear piece of advice for savers: "lock-in high rates now before we see rates come down further."

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