Fed cuts would immediately make borrowing cheaper on credit cards and auto loans, since those products are based on the short-term interest rates the central bank heavily influences. Mortgages are a different story,

Futures markets are also expecting a rate cut. Investors peg the chances of a quarter-point interest rate cut at nearly 96%, according to the CME FedWatch Tool, a measure of market sentiment.

President Trump and Treasury Secretary Scott Bessent have been pushing for aggressive Federal Reserve interest-rate cuts. But one Wall Street strategist warned that even if the Fed delivers, it might not do much to stimulate the economy.