Tuesday, December 11, 2007

The Fed Meeting

The FOMC meets today to decide the course of interest rates. My best guess is a cut of 25 basis points in the Fed Funds rate and 50 basis points in the Discount Rate, but who knows. The statement is likely more important than the action anyway. I would also not be surprised if they left the Fed funds rate unchanged and just adjusted the discount rate. That would be a surprise to the market though.

No comments: