Moderate economic activity, weak business fixed investment and exports, and global uncertainties promoted the Fed to lower the key interest rates, a second since the recession of 2008
The central bank's leadership is under immense political pressure from Trump, who denounces its reluctance to slash rates more aggressively on Twitter almost daily
The chair, under pressure from President Donald Trump to cut rates soon and deeply, listed a series of economic and geopolitical risks that the Fed is monitoring
The Fed released minutes of its July meeting later on Wednesday, which will provide an insight into its deliberations when cutting interest rates for the first time since the financial crisis
The Republican president has blamed the Fed under Chairman Jerome Powell for undercutting his administration's efforts to boost economic growth
Some Fed watchers predict officials will cut their benchmark by half a percentage point, but the signal is that they will eschew a bigger move in favor of a quarter point reduction
The yield on 10-year Treasuries fell to 2.04 per cent after climbing above 2.10 per cent for the first time in a month
Yields on two-year US Treasuries previously jumped to 1.87% from 1.76%
Powell took office in February determined to improve the Fed's communications with Congress and the public
The almost forgotten reappearance of one phrase gives hope to those seeking a more cautious Fed in 2019.
The Fed's independence is seen as a pillar of the US financial system
Powell said that his expectations for domestic economic growth have increased since the beginning of the year
The collapse of US investment bank Lehman Brothers in 2008 sparked chaos across the global financial system giving rise to the concept of 'too big to fail' institutions
Analysts say this will be a bright spot for a dollar that has struggled for most of the year
As the engine behind the world's most important economy, the Fed's influence is hard to overstate
Donald Trump on Thursday nominated Powell to replace Janet Yellen when her term expires in early February.
Powell will replace current Fed Chair Janet Yellen
One of Powell's virtues for the job is that he understands markets
After months of public debate, analysts say Powell represented a middle-ground option for the President, who wanted to mark a departure from the Obama era
Powell, Yellen and Stanford University economist John Taylor are among those on the Republican president's short list