Fed Governor Bowman warns against interpreting rate cuts as signs of economic weakness, stressing the risks of stoking inflation with rapid cuts. Read what investors need to know.

Banks ultimately set credit card interest rates, but they're heavily influenced by the federal funds rate set by the Federal Reserve. Think of it as a domino effect: The Fed sets the federal funds rate, influencing the prime rate, and banks typically set credit card rates above the prime rate.

Their latest update, published on September 18th, revealed that their views on long-term interest rates are the most dispersed since the Fed started publishing these “dot plot” projections in 2012. Of the 19 officials who made forecasts (the committee’s 12 voters plus seven regional Fed presidents),

NO: The Federal Reserve simply gave more priority to softening employment data rather than focusing solely on inflation reduction mandates or they felt confident that inflation is coming back toward the 2 percent goal. They will likely continue to cut 25 basis points in each of the next few meetings.

The Federal Reserve cut interest rates by half a percentage point, signaling a shift in monetary policy and boosting confidence in the economy. Read what investors need to know.

The federal funds rate is the interest banks charge each other for overnight loans. Set by the Federal Reserve, it's a basis for other interest rates.

The Federal Reserve cut its benchmark interest rate by an unusually large half-point, a dramatic shift after more than two years of high rates that helped tame inflation but also