News Analysis
The winds of change are upon the U.S. economy as the Federal Reserve is expected to cut interest rates for the first time in four years, affecting everyone from Main Street to Wall Street.
After the Fed launched its inflation-fighting crusade in March 2022, higher interest rates have significantly raised consumer borrowing costs, be it credit cards or auto loans.
While relief is on the way for borrowers, they should not expect the rate cut to be an instant cure, says Greg McBride, the chief financial analyst at Bankrate.
“By itself, one rate cut isn’t a panacea for borrowers grappling with high financing costs and has a minimal impact on the overall household budget,” McBride wrote in an email to The Epoch Times. “What will be more significant is the cumulative effect of a series of interest rate cuts over time.”…