Today the Fed's will most likely cut the Fed's rate by .5% pt.  Most consumers expect interest rates to be lowered as well, however, the consumer rates or long term rates are affected by the global markets and often times when the Fed's cut the rate, the actual long term rates may increase.

How does this affect the consumer you ask? A borrower will actually see a rate reduction on their home equity line of credit interest by the same drop because heloc is tied to the prime and prime rate fluctuates with the Fed's rate. (i.e., if the Fed's cut the rate by .5%, this will reduce the prime from 4.5% to 4%.)

All questions and referrals are welcome!