The Federal Reserve's decision to cut interest rates presents a dual-edged sword for the tech sector, offering both significant opportunities and notable challenges.

US mortgage rates rose again this week, the fourth-straight weekly increase. That rise in borrowing costs has undone some of the relief Americans felt this summer when mortgage rates fell in anticipation of a rate cut from the Federal Reserve as inflation improved.

The U.S. Federal Reserve cut interest rates in September, and more cuts are expected at least into 2025. Earnings on cash are expected to fall as well.

While the Federal Reserve has projected more interest rate cuts this year, some officials are cautious as more economic data on inflation and employment comes in.

The coronavirus has wreaked havoc on the economy, and in an emergency response, the Federal Reserve slashed interest rates by a full percentage point—the second rate cut in two weeks and the largest in Fed history.

Federal Reserve Bank of Dallas President Lorie Logan said Monday she sees more rate cuts ahead for the central bank and suggested she sees no reasons why the Fed can’t also press forward with shrinking its balance sheet.

Four Federal Reserve policymakers expressed support for further cutting of interest rates. However, they differ on how fast such rate cuts should be made. Reuters reported that three of the policymakers wanted to take it slow,

Four Federal Reserve policymakers on Monday expressed support for further interest-rate cuts, but appeared to differ on how fast or far they believe any cuts should go.