Not the first time in history. It looks like rates were cut in sept and oct 2007 when the DJIA was very near all time highs.
Sept. 18, 2007 -50 4.75%
Oct. 31, 2007 -25 4.50%
Dec. 11, 2007 -25 4.25%
Jan. 22, 2008 -75 3.50%
Jan. 30, 2008 -50 3.00%
Mar. 18, 2008 -75 2.25%
Apr. 30, 2008 -25 2.00%
Interesting because at that time housing prices were sky high and bubbles all over .. the fed knew something and knew QE would save them as soon as the banks starting to freeze up due to liquidity and massive constraints in derivatives markets....
Sept to April....7 months of rates falling.....let's see the fed mimic those exact cuts this time around. What I would absolutely love to see is the fed cut cut cut and then see inflation tip back into the market to see how they would handle it.
Last time 2007 - 2008 we know why they cut, after the collapse of Lehman it was game on, add in the housing crisis and they had a party lowering rates. This time there is absolutely zero reason to lower rates, some are saying they see weakness in the job market but others keep saying how resilient the consumer is as they still continue to spend spend spend even under trillions of mountains of debt they owe...this has been going on quite a while so who knows who is right and who is wrong, however they always say the consumer is right and with that said it looks like gdp will stay strong even as they claim how much debt consumers have taken on ...
