STORY: EDITORS PLEASE NOTE: AN EARLIER VERSION OF THIS VIDEO MISSPELLED GEORGE CIPOLLONI'S LAST NAME AND MISPRONOUNCED IT.

A widely expected interest rate cut at the conclusion of the Federal Reserve's policy meeting Wednesday has many wondering what impact the decision may have, after one of the central bank's steepest increases for borrowing costs in history.

:: [How a rate cut could impact Main Street]

Let's start with it might effect housing and consumers.

Michael Bailey is director of research At FBB Capital Partners.

"If the Fed starts cutting rates, there has historically been a connection with mortgage rates, so as those come down in theory homes should become more affordable, so that may help that part of the economy. The flip side is that regular consumer products and staples, we have gone through a wave of massive inflation and that's the reason the Fed raised rates, to kind of slow that down, however, the damage has already kind of been done. A lot of those prices are higher, so it is less likely they will come down."

:: [How a rate cut could impact Wall Street]

For investors, a key question may be whether the Fed will cut rates in time to avert a potential economic slowdown.

George Cipolloni, portfolio manager at Penn Mutual Asset Management looked at Goldman Sachs Research about how the S&P 500 performs in the first year after a rate cut.

"if the economy is not in a recession, the market tends to go up roughly 10 to 12, 10 to 15%. And if we are in a recession, the market tends to go down about 10-15%. So it really is two different dress like different and binary outcomes from a potential standpoint in terms of what the stock market may do in, in terms of the reaction."

:: [How a rate cut could impact U.S. bonds]

In terms of Treasuries, they have already seen a huge rally, and some investors believe they are unlikely to run much further unless the economy experiences a recession.

The problem is economists see little evidence that the U.S. is currently in a recession and we likely won't know for several more months.