The Federal Reserve on Wednesday cut interest rates by a quarter point – delivering highly-anticipated relief to borrowers for the first time since December 2024.

Central bankers have been delaying rate cuts over fears that tariffs could reheat inflation, which did pick up over the summer, and recent economic data have delivered a mixed bag of results.

But during his Jackson Hole speech last month, Fed Chairman Jerome Powell signaled that the weakening labor market is now a greater concern than inflation – especially since tariffs might only introduce a one-time price impact.

Federal Reserve Chairman Jerome Powell speaks during a press conference in July. REUTERS

Now the question is whether Americans can expect a consecutive rate cut at the Fed’s October meeting. In June, officials

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