Another Big Rate Cut

Mortgage and Lending with Peoples Home Equity, Inc.

The FED cut the Fereral Funds Rate 3/4 of a percent, to 2.25% today, in an effort to avoid a recession.  With lower rates consumers are encouraged to spend and borrow more.

Some people think that as the dollar weakens with each cut we could see higher gas and food prices, and higher prices for imported goods.  We will have to wait and see what affect this has on our economy.



Comments (3)

Jimmy Collins
Century 21 Select Properties - Knoxville, TN
Knoxville Area Real Estate
I hate to say it but I believe the country is headed for worse than a recession. It is as bad as I've ever seen. I also talked to my father (30 years older, 60 years wiser) and he agrees.
Mar 18, 2008 07:00 AM
Larry Brewer - Benchmark Realty llc
Benchmark Realty LLc - Nashville, TN
It will probably improve our trade with other countries. The products built here are now cheaper than they have been, and tourist from other counties are more likely to visit. In the global commerce where parts are made and shipped from everywhere to anywhere, a few percentages in cost may a big difference.
Mar 19, 2008 02:19 AM

very interesting

Oct 09, 2008 07:49 AM