Paid advertising at What Really Happened may not represent the views and opinions of this website and its contributors. No endorsement of products and services advertised is either expressed or implied.

 

Fed: Emergency cut

The Federal Reserve, working in coordination with other central banks worldwide, enacted an emergency interest rate cut on Wednesday.

The Fed lowered its fed funds rate by half of a percentage point to 1.5%. The central bank's statement said the move was necessary because of the worsening crisis in global financial markets.

Webmaster's Commentary: 

I am watching the TV networks almost try and SELL the idea that this has to turn the market around.

I agree that in the past a lower rate would entice investors into borrowing more money for another spin of the Wall Street Wheel,. but I am not sure how well that will work now with the public perception that the dice are loaded and the table tilted against the small investor. We may see a slight uptick at the open where the suckers pile on for one more rise with lady luck, but I do not think it will work as well as the Fed hopes, and if it fails to work at all is when the panic will set in.

Log in
to vote
0
Posted on Oct 08, 2008 at 06:01
»

Comments