Fed Lowers Fund Rate 0.75%

On Tuesday, in a suprise event after a couple shaky days in worldwide stock markets, the Federal Reserve lowered interest rates 3/4 of a percent to 3.5%. Paul Kedrosky has reported that many people are already refinancing, but another rate cut may come at the next Fed meeting, which could drive rates lower. Reuters reports

Implied prospects for the Federal Open Market Committee to lower benchmark lending rates by 50 basis points next week FFG8, to 3 percent, fell to 36 percent early on Friday before roaring back to end the week at 70 percent.