According to interest rate futures, it is nearly certain that the Fed will but short-term rates by 0.25%, but some expect a cut of 0.50% as a response to the sub-prime mortgage crisis/credit crunch.

These rate cuts are typically good for people who borrow at rates that adjust off of an index, such as Prime, LIBOR, or short-term Treasuries.  However, net savers, who often have money in money market funds, savings accounts, and short-term certificates of deposit, will see their earnings yield drop.

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