A CNN Money article states that Federal funds futures on the Chicago Board of Trade show that investors are betting 100% on the likelihood of a half point rate cut on March 18th and, 88% on a three quarter point rate cut.  They then, on the basis of the growing opinion among some economists that we don’t, ask “do we really need another rate cut?”

“The problems the markets are facing are not due to interest rates being too high. It’s a lack of confidence,” said Barry Ritholtz, the CEO and director of equity research for Fusion IQ.  Ritholtz and others argue that the rate cuts are only worsening the pain through devaluation of the dollar and amped up demand for commodities such as gold and oil.  If additional rate cuts are not going to increase either consumer confidence or trust among lenders, do we really need one?