What a Fed rate cut would mean for bank accounts, CDs, loans, and credit cards

This is the economic U-turn we’ve been waiting for. The Federal Reserve is expected to begin lowering interest rates Wednesday.

It’s been a long time coming.

After inflation peaked at 9.1% in June 2022, the Fed worked to tame consumer prices with 11 interest rate hikes over the ensuing months. Rates have remained unchanged since August 2023.

With inflation at 2.5% in August — tantalizingly close to the 2% target — Fed officials are signaling that they feel the time is finally right to steer interest rates lower.

Hal Bundrick | Yahoo Finance

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