Fed's decision to cut rates by 50 basis points has been positive.

Fed's decision to cut rates by 50 basis points has been positive. The FOMC announced that it has cut the fed funds rate by 50 basis points to 3.00% and the discount rate by 50 basis points to 3.50%. Banks announced that they were cutting the prime rate from 6.5 percent down to 6 percent, the lowest level for the prime since the spring of 2005.

The lower rates should help the housing market. Get me another 100 basis points and I'll renovate my kitchen this summer -- but on a serious note the lower rates will reduce the financing cost of my renovation in Allentown.