Fed rate cut

Okay. The Fed cut interest rates (short-term rates, that is) by three quarters of a percent. Maybe that will staunch the flow for a day or two, but I doubt it. This is not a problem that can be fixed by lowering interest rates. It's far more fundamental than that. We need to bail out a whole series of institutions before the entire financial system collapses of its own weight. People don't seem to get that yet. They still seem to think it's a psychosomatic illness that can be fixed by changing people's minds instead of a real cancer that can only be fixed through radical, invasive surgery.

The last I looked at the DOW futures they were down 530. Will see what happens in 35 minutes or so when the market opens in New York.

Update: Just looked at the futures market again, and the losses seem to have disappeared, so maybe the rate cut will work for a day or two. Keep your fingers crossed. Unfortunately, there is sure to be more bad news coming down the pike in a few days, and who knows what will happen then?

Update II: 5 minutes to opening and the futures are back down almost as low as they were before the rate cut was announced. Hang on to your hats!