Hiring was better than the 65,000 forecasters had expected, though it decelerated from the 185,000 jobs created in March.
The Job Openings and Labor Turnover Survey showed that layoffs rose in March. But hiring improved, and more people quit their jobs.
Lower interest rates can boost the economy and hiring, but also tend to fuel inflation.
Despite the pullback in sales, home prices continued to rise last month.
The Labor Department reported Friday that hiring marked a rebound from the loss of 133,000 jobs in February.
In the fourth quarter, consumer spending grew at a 2% clip, down from 3.5% in the third quarter.
A downturn in government and consumer spending contributed to the slowdown in fourth-quarter growth.
Wednesday's decision brings the Fed's key rate down to about 3.9%, from about 4.1%.
Employers are now contending with fallout from President Trump’s policies, especially his aggressive use of import taxes – tariffs.