Everything You Need to Know About Interest Rates – Reuters

By Lauren Young

NEW YORK – This piece was originally featured in the "On the Money" newsletter, which offers insights and tips on U.S. personal finance on a biweekly basis. You can sign up to receive it for free.

Even before the U.S. Federal Reserve implemented a significant half-percentage-point interest rate cut last week, financial markets were already making credit more affordable for households and businesses. They accomplished this by reducing mortgage rates, lowering corporate bond yields, and decreasing costs for personal, auto, and other loans.

While bonds often perform well for investors at the onset of the Fed’s rate-cutting cycles, Treasuries have already seen a substantial rally this time. Some investors believe that there may be limited upside unless the economy experiences a recession.

What about stocks? They have been performing well so far, but the long-term outlook is somewhat more nuanced. Stay updated with our market coverage for the latest insights and news!

Has the recent rate cut positively or negatively impacted your finances? I invite you to share your thoughts.

Life Lessons: Sherri Shepherd’s Path to Hollywood’s Walk of Fame

As a popular talk show host, Sherri Shepherd’s role revolves around eliciting personal stories from celebrities. However, her own journey might be the most captivating.

The host of the show, which recently launched its new season, has come a long way from her early struggles, which included being evicted from her Los Angeles apartment while chasing her dreams in show business.

A standout quote from her interview: “I remember back in the days when my car used to get repossessed, I would be on the bus going by Hollywood Boulevard, where the Walk of Fame is located. I would look at the stars and dream that I would have a star one day. Now I’m having a ceremony for it. Never let go of that dream.”

What I’m Reading and Watching

• Labor disputes at U.S. ports threatening various products.
• The housing market is easing as mortgage rates decline.
• Consumer confidence declines amid labor market concerns.
• Monthly house prices in the U.S. showing modest increases.
• Cities with under-30-minute commutes in the U.S.
• Strategies for investors following the Fed’s rate cut.
• U.S. accusations against Visa related to debit card monopolization.
• Planning for retirement as a solo individual.
• Holiday spending expected to reach records due to consumers relying on buy now, pay later options.

In Defense of Consumer Staples

The consumer staples sector has outperformed the broader market amid recession fears and a pivot away from expensive technology stocks. An expert discusses why these stocks are considered more than just a hedge against recession.

An Expert’s Guide to Retirement

Retirement planning can be daunting, and even experts find it challenging. Take Christine Benz, the director of personal finance and retirement planning at an investment research firm. When her father began facing cognitive decline, she unexpectedly took on financial responsibilities for her parents, encountering a myriad of retirement challenges that are often only fully understood through experience.

In response, Benz wrote a book sharing five essential tips on how to approach retirement.

A$K LAUREN

Thank you to everyone who reached out regarding concerns about taxing Social Security and rising pet care costs! I read every email, so please keep them coming.

Speaking of which: Are you considering taking out a student loan? Planning to retire soon? Send your financial questions my way, and I’ll leverage my extensive network for expert advice.

Don’t forget to subscribe to this newsletter for more insights! Even better, share it with a friend!