fed to cut rates tonight, page-23

Hi deltra

If the Feb cuts rates as aggressively as you suggest they are setting themselves up to have no effective monetary policy tools left when they might really need them (say in 6 to 12 months time if the markets don't recover quickly.)

I can't believe that Bernanke would be that foolish - he has been a student of the Great Depression and of the Japanese "lost decade" and knows the danger of getting himself into a liquidity trap.