The Federal Reserve has decided to keep its key interest rate unchanged and foresees three rate cuts in 2024.
Here's what this means for you:
▪️ Lower interest rates could reduce borrowing costs across the economy. Mortgages, auto loans, business borrowing, and other forms of credit could become cheaper.
▪️ If inflation continues to decline as expected, the Fed might cut rates even further, keeping borrowing costs from rising.
▪️ A strong stock market in 2024 could be on the horizon, thanks to easing inflation.
However, it's important to remember:
▪️ Despite the positive outlook, the Fed has not conclusively signaled that rate hikes are done.
▪️ Some areas, particularly healthcare, apartment rents, restaurant meals, and other services, continue to see high inflation.
Remember, these economic shifts may seem daunting, but you're not alone in navigating them. Because in the world of finance, one-size-fits-all approaches simply don't work. Feel free to reach out if you have any questions or concerns.
Source: https://apnews.com/article/federal-reserve-inflation-prices-interest-rates-cuts-d95b976ef2194cea8516f21c98f62ded CRN202602-5669667