The Today Show announced this morning that the Dow closed below $13,000. According to MSNBC, the growing list of problems is enough to raise concerns that consumers are beginning to tighten their grip on their wallets - which could potentially cause a damaging ripple effect on the economy. The Federal Reserve added billions to the banking system yesterday in a fight to keep a credit crisis from derailing the economy. Speculation is growing that the Fed also will cut interest rates, perhaps as soon as next month. The Fed has not lowered rates in more than four years. But many economists, while watching another wild day on Wall Street, said they believe the central bank would do just that in the weeks ahead if the market turmoil becomes severe enough.
They say when you've been in the business long enough, you see all the differet phases of market conditions - the highs and the lows. Who has been through this before? I would like to hear from you! It would also be interesting to hear from some of the mortgage experts out there regarding the lending crisis. Do you also believe that there will be a cut in interest rates soon and do you see a turnaround in the near future?
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