Another Rate Cut!

With the U.S. and World financial markets spinning down out of control, Federal Reserve Chairman Ben Bernanke is thinking of cutting the interest rate again. But he won’t be alone with this cut; other world markets will be doing the same. We will have to wait for this next rate cut though. The Fed will meet again Dec. 16, which will be their last regular meeting this year. With the U.S. economy in its worst shape ever we might need this rate cut sooner. But then again will this rate cut even be enough to help our economy, I really don’t know. I guess we’ll have to wait and see what happens next. Hopefully Bernanke will be able to pull a fresh start out of his hat.

Tags: Bernanke, Rate Cut

Circuit City!

The number two nation’s biggest electronics retailer filed for bankruptcy protection today. They do have plans to stay open for business though. And with one of the worst holiday shopping season’s coming up who knows how they will do. I was reading that the main reason for filing Chapter 11 was to get supplies moving again. It seems that vendors have been holding back inventory, which now they have to release. Apparently Circuit City owes Hewlett-Packard $118.8 million, Samsung $115.9 million, Sony $60 million, Zenith $41.2 million, Toshiba $17.9 million and many others. I got those numbers off a report done up on Yahoo.com. This bankruptcy only means one thing; more jobs will be lost. And on top of the cutting job’s Circuit City will be closing more stores. I knew this was going to happen when there stock price was trading below $1 for awhile now. Hopefully this won’t be too painful for a lot of communities these locations are around.

Tags: Circuit City

Fed Slashes Interest Rate!

The Fed slashed the interested rate used to lending to banks to 1 percent on Wednesday. Just this month alone the interest rate has been cut by a full 1 percent. The interest rate hasn’t been this low in five years. The interest has never been as lower since 1958. So we’re pretty close to seeing history if there’s another interest rate drop. The man in charge is Federal Reserve Chairman Ben Bernanke. I was reading that he and his colleagues stated that they would “monitor economic and financial developments carefully and will act as needed to promote sustainable economic growth and price stability.” And I believe he will do as he stated. This cut is showing that the markets at close to the bottom and are ready to come up. Look what happen when the rate was reduced, the Dow dropped? But now it’s on its way back up, and could stay up for the next few days. Who knows, the bottom could have been reached and now it’s on the rise. I sure hope so, I done with it being down.

Tags: Fed, Interest Rate

Stocks On The Rise!

It seems that the credit market has finally thawed somewhat. Today on Wall Street the Dow industrial average rose by more than 413 points. The rise of Wall Street was mostly because of the rest of the world markets showing decent increases in their market value. And also of speculation that Federal Reserve Chairman Ben Bernanke will cut interest rates again. And also let’s not forget the bargain shoppers, there were some pretty good deals today. Anyway this is just a spark; we still need a pretty big fire to get this economy moving again. Hopefully tomorrow will show similar results by week’s end. I would really like to see the Dow back above 10,000 points.

Tags: Ben Bernanke, Dow Jones industrial average, Stocks