Interest Rate Cuts Not Helping Those Who Need Them Most

According to WSJ, the interest rate cuts by the fed are not effecting the savers and borrowers as much. The savings product are quick to cut the rate when the Feds cut the rate. The rate cuts have also not brought down the rates on home-equity loans and auto loans.

If dollar keeps falling, the treasury will have to have a higher yield in order to attract foreign money.

Here are the highlights from the article
SLOW TO MOVE
Here's how the Fed's recent rate cuts have played out for consumers:

• Banks have been slow to reduce rates on many deposit accounts, benefiting savers.
• Rates on new home-equity and auto loans haven't dropped as quickly as expected.
• Some homeowners with adjustable-rate mortgages that are about to reset will see some rate relief.

The banks may start cutting the savings rates, but until then this is good news for all the savers.

http://online.wsj.com/article/SB119431231354883361.html?mod=hps_us_whats_news