The federal funds rate is a benchmark that influences other interest rates throughout the economy. The Federal Reserve doesn't control the federal funds rate directly. Instead, it uses various monetary policy tools to steer the benchmark toward a target range, which is currently 4.75% to 5%.

Policymakers in the U.K., eurozone and Canada have already cut rates. But India, South Korea and others were, essentially, waiting for the Fed.

The Federal Reserve is widely expected to lower interest rates this week after holding borrowing costs at a two-decade high for more than a year. Most Read from BloombergCalifornia’s Anti-Speeding Bill Can Be a Traffic Safety BreakthroughPipe Fire Near Houston Forces Residents to EvacuateLondon Mayor Plans to Pedestrianize Busy Oxford StreetTo Build a Happier City,