A Fed Rate Cut Finally Happened For the First Time in 4 Years. Here’s How the Decision Will Affect Your Wallet.

The Federal Reserve announced on Wednesday that it was lowering the federal funds rate by half a percentage point (0.5%) or 50 basis points, its first rate cut in over four years.

The previous rate range set by the Fed was 5.25% to 5.5%, the highest in over two decades. Now the range is between 4.75% and 5%.

The announcement followed a Federal Open Market Committee meeting, one of eight scheduled meetings throughout the year. There are two more meetings planned for 2024, in November and December, where the Fed could bring rates down further.

“The Committee has gained greater confidence that inflation is moving sustainably toward 2 percent, and judges

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