Breaking News .............................. 2/5/08

Merrill Lynch predicts strong possibility of another intrasession FED rate cut.

It's anyone's guess as to how the markets will react to this if it happens.  The bond market's reaction will likely be dependent of the overall economy's reaction.  If it does not stimulate activity, expect mortgage rates to drop further.

All this, of course, assumes what might happen if this does indeed occur.