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.

All 12 Fed voters backed the cut.Officials have said those moves are warranted because they are more confident that inflation will return to the central bank’s target and because they believe rates are still high enough,

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%.