Federal Reserve Chair Jerome Powell hinted interest rate cuts could be coming soon in a speech on Friday , a move that could affect everyone from global markets to individual Americans.

Powell underscored that any upcoming rate cut would be dependent on the economic data. But Fed watchers took his comments to mean the central bank’s monetary policy committee may decide to lower them at its next meeting, in mid-September.

“While a September rate cut is highly probable, it is not a done deal,” cautioned Greg McBride, chief financial analyst at Bankrate.

Investors nonetheless welcomed the prospect of a rate cut, sending the Dow soaring 800 points on Friday to close at a record high.

Whenever the Fed does cut interest rates, here’s how it could affect your financial life.

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