Are we looking at a recession, or soft landing? Either way, a rate-cutting environment has big implications for your stocks, bonds, and savings.

The Fed said the cut lowers the federal funds rate into a range of 4.75% to 5%, down from its prior range of 5.25% to 5.5%, which had been its highest level in 23 years.

The Fed's decision will lower borrowing costs from a 23-year high as the central bank pivots to shoring up economic growth.