US FED rates are already at record low level of 1.5%. Most of the market participants are expecting the rate to be slashed by at least half a percentage point to 1% levels in the coming FED meet. This is indeed expected to bring down the cost of funds for the banking system and thus for the US customers also, which is badly needed to pull back the economy from recession. Most of the weekly housing / job market data / production data clearly indicate that the US economy is clearly into recession.