What on earth do they think a rate cut is going to accomplish?

[Recursion]

The problem is not that capital is too expensive; the problem is that the four largest ports in the US have each cut at least one shift because nothing has been coming out of China for a month. All the capital in the world won't magically create those transistors that you need and that Guangzhou didn't build.

[FoxNewsSucks]

1. A rate cut will help corporate bottom lines.

It will mean lower interest payments for billionaires.

That's their goal. MF45 doesn't give two shits about anything else. He'll probably propose yet another tax cut to fight "Caronavirus"

[Wounded Bear]

2. It's to prop up the markets after last week's selloff...

might give a short term boost to the market, won't have much affect on the general economy.

Plus, it shaves off more of the small margin they have left to help an actual dip when it comes.

[wishstar]

3. Will prop up housing market, give those with variable interest loans more disposable spending money

and of course will make investors more likely to stay in risky stock market if safer insured accounts and CD's are all paying much less than 2% even for longer terms.

[Cognitive_Resonance]

4. They had no choice. It will buy some time for debt sensitive industries,

it will help keep people employed. Definitely the right thing to do, but not expected as an emergency action (anticipated to happen at next Fed meeting scheduled in two weeks).

[CountAllVotes]

5. Those that aren't in the stock market will lose

Great way to steal what may be left from those that don't play the casino aka Wall Street!

Same story, different year.

2008 we barely knew ye!

[SWBTATTReg]

6. Well, I for one, am sick and tired of getting minimal interest rate returns on my CDs in...

order to finance everyone else's spending spree. You might want to look at this interest rate cut in another way. My mom and dad, when they were looking for replacing their current, expiring CDs with new CDs, complained about the ridiculously low interest rates being paid on CDs.

And this is impacting everyone that has savings.

[Recursion]

8. OMG my CDs are groaning right now

USAA sold me some as a security for a credit card, and the damn thing is worth less now than when I opened it 3 years ago.

[machoneman]

7. The net effect will be to further spook the markets. This should have been a smaller cut if any at..

..all. This will have the opostie effect on Wall St. and in board rooms. It signals pretty strongly that our economy IS ALREADY in trouble. Note the Dow was up yesterday and early today but now has dropped over 250 points, proving my guess correctly, noting though the real experts said this already today!

[PSPS]

9. Haven't you heard? Coronavirus happened because the fed rates were too high.

Ergo, lowering rates will make it go away!

[gratuitous]

10. Tax cuts: Is there nothing they can't do?

Floor wax, dessert topping, cure for viruses!