Enphase Energy Inc(NASDAQ:ENPH) shares are trading higher by 3.75% to $122.97 Wednesday afternoon after theFederal Reservecut interest rates by 50 basis points.

Why This Matters:Enphase Energy is a leading provider of solar energy solutions, particularly microinverters and energy management systems. Solar installations often require significant upfront capital investment, much of which is financed by loans.

Lower interest rates reduce the cost of borrowing for consumers and businesses interested in solar projects, making it cheaper to install Enphase's systems. This can drive higher demand for their products.

As homeowners find it cheaper to finance solar panels due to...