India, Sept. 17 -- The US Federal Reserve on Wednesday lowered interest rates for the first time this year, flagging slower job gains and risks to employment as policymakers face heightened pressure under President Donald Trump.

The US Fed cut the benchmark lending rate by 25 basis points, to a range between 4.0% and 4.25%, while penciling in two more rate cuts this year. The central bank has lifted its US GDP growth forecast to 1.6% for 2025 from 1.4% in June. It made no change to its unemployment and inflation forecasts.

One basis point is one-hundredth of a percentage point.

The US Fed, in a statement announcing its rate cut, said that "downside risks to employment have risen," even as inflation has "moved up and remains somewhat el...