The Fed comes up with an interest rate cut that will please nobody | Larry Elliott

Donald Trump has been pushing for it, but the real problem lies with the man in charge - Jerome Powell

Donald Trump got less than he wanted. Wall Street was unimpressed. Both the White House and the financial markets see the first cut in US interest rates in more than a decade as a taste of more to come. And they are right.

Announcing its quarter-point cut, the Federal Reserve said the decision was warranted by global developments - shorthand for Trump's trade wars - and muted inflationary pressure. The idea is that this is an insurance policy against the risk of a possible recession.