The Federal Reserve changed interest rates again in September, but it did something the original headline gets wrong: It raised the federal funds target by a quarter point, bringing the range to 3.75% to 4%.
That distinction matters if a portfolio holds cash, short-term bonds, floating-rate investments, or other assets tied closely to market rates. Some holdings can reflect a Fed move within days. Others take weeks or longer. And one familiar place to park money can quietly become less attractive when rates move.
