Experts are saying that Federal Reserve chief Ben Bernanke is is going to cut key interest rates by 1/2%, and possibly as much as 3/4% when the Fed meet again on March 18th. Bernanke has said that the health of the U.S. economy is his biggest concern.
A half point cut would bring the Federal Funds rate to 2.5%. It has already been lowered 2.25% since September 2007 to help keep the economy out of a recession. Many think that after the March rate cut we might not see another cut for quite some time, to let things settle and then see what happens.