The Fed lowered rates by 25 basis points to a 20-month low, but economists say tariffs may throw a wrench in the rate cutting cycle.

Mortgage rates, in particular, surged last year to their highest level since 2000 but have since come down alongside inflation. But it's been a bumpy ride back to the bottom in recent weeks. What, then, does this latest Fed rate cut mean for mortgage interest rates? That's what we'll break down below.

The Federal Reserve Thursday lowered interest rates for the second time this year, cutting the federal lending rate by a quarter point, or 0.25%. That brings the lending rate range to 4 1/2-4 3/4%.