Fed cuts rates by .50 today
 

Wow, they just cut it .75 last week, and they were estimating .25 today.

.5 cut today and they didn't close the door for future rate cuts. It must be bad.

This will help short term, but we still have big obsticles ahead :Oh crap

Yeah make it more appealing to borrow more moeny. A sure fire way to get out of this mess. :Oh crap:error:helpme

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http://msnbcmedia3.msn.com/i/msnbc/C...t_080131_h.gif

WASHINGTON - The Federal Reserve cut key interest rates another half-percentage point Wednesday on top of last week's aggressive move, continuing its efforts to keep the economy from toppling into recession.

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This is driving me fucking insane. There is some property I want and its a lock either way but the Feds are holding me up by dropping rates left and right so I keep not pulling the trigger.

It looks good for you now, I don't see them dropping much more. Good luck :)

Am I the only one starting to worry that the interest rate is going to match inflation soon?
WG

This usually happens in an election year.
The fed wants to get all of the rate hikes or cuts out of the way before the general election campaign starts in full swing, so that it doesn't look like they're trying to benefit either party with their actions.

Also, this is a sign that Bernanke has been behind the curve and should have started cutting a long time ago instead of jacking rates up twice when he first took over.

Rates have been going up for years now. This is what you get when you get the government involved in everything. This is just going to fuck things up in the longer run for a short term gain and good press.

where's greenspan when u need him?

Well that is the fear. Rising Inflation is a factor in their decision. Mainly Gas and supplies.

USD dipped 1% or so after the announcement too, I'm surprised there aren't many bitching threads from foreign webmasters yet...

he can cut as he want, but bond market says him "fuck you". they will have a hard time of defending 3.00 target.

http://finance.yahoo.com/q/bc?s=%5ETNX&t=5d

Nope seems the feds are hell bent on bringing on raging inflation by trying to devalue the dollar the best they can right now. Only a matter of time before the cost of imports and raw materials gets passed onto the consumers.

If you have any money in the bank and getting intrest, the fed wants you to take it out, spent it and borrow more :Oh crap

Temporary Band aid to a major busted Artery:2 cents:

you ain't kidding either......

I was reading else where that consumers really wont benefit from these cuts.

I will i am home hunting down here in Florida they giving houses away. I can have a nice 3300sq foot home built brand new for about 209k with them paying closing cost and 25k of free upgrade options locked in at 4.87% rate :)

Thats great

This is his way of saying... Ooops, I guess I was wrong.

so it took only 20 days to get mortage rates on the same level back, despite the rate cut. bond market still says fuck you. the further rate cuts probably wont help any mortage owners.

http://bespokeinvest.typepad.com/pho.../30yrfixed.png

That is what happens when you print money out of thin air backed by nothing.

Right now the US penny is worth more melted. To bad its illegal to do. :error

Interest rates didn't create this mess and they won't solve it either. It may help a bit but there are bigger problems.

The latest worrisome data on consumer prices underscore the dilemma the Federal Reserve faces: Should its priority be the risk of inflation or the threat of recession?

Economists widely expect Fed officials to keep their sights squarely on the latter and lower the funds rate at which banks lend to each other by one-half percentage point to 2.5% next month. But this morning's reading on the consumer price index for January suggests that hopes for a larger cut are unrealistic and shows the limitations of the Fed's rate-cut strategy

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After taxes it's already worse.