Fed Set To Cut Key Interest Rates By 1/2 point.

The Federal Reserve board could call for an "emergency meeting" at any time to announce a rate cut. We are in an official Recession. That in itself isn't a huge concern. If it goes on for three or four quarters, then we've got a problem. President Bush will announce, or attempt to announce, that the Federal Government is going to take action to help out the average American with some form of tax break or check...something to attempt to "stimulate the economy." It won't help (overall). Look for Ben Bernanke to announce a 50 basis point cut (1/2 point) at the next session. How will the markets react? They're already anticiapting it, so it's basically being priced into the economic models already. Mortgage rates and lenders are already ready. Now, if the Feds come up short with a 1/4 point cut, that will disapoint the markets; stocks will tumble, mortgage rates will rise. I will be here to take care of your real estate financing, regardless of where the market goes. I have been dead on with my finanical predictions, not that I'm a genius; far from it in fact, but when it comes to this stuff.... well, check the record! Pat Townsley, Broker. 415-485-1776. http://www.ptre.net/