Fed cuts interest rates to 3.5%

http://news.bbc.co.uk/1/hi/business/7202645.stm

FTSE in green now, Hopefully US markets will follow the suit and will be up and we will see comeback from Indian markets as well..

what do you guys think about it? will it have any positive effect on INdian Markets tomorrow?

After interest rate cuts, The Dow Jones Industrial Average Futures dropped 376 points, or 3.11%, to 11725 as of 8:43a.m. EST in New York. The broader Standard & Poor's 500 Index futures fell 45.80 points, or 3.43%, to 1279.50 and the Nasdaq 100 futures lost 55 points, or 2.97%, to 1794.50.

I think it is not doing any good to the US markets too... forget the rest of the world.

I think only way we can see a little pullback could be with Quality buying from the domestic funds, insuarance houses, institutional & retail investors. The sentiments have very conveniently ignored the positive results by indian industry. That should come into effect soon. Instead of depending on FIIs only we should focus on our own strengths.

The sharp falling sensex chart signals that this trend may continue further.... the worst is not over.... Its better to be away from the market and wait for some positive triggers...
However indian fundamentals remaining unchanged nothing bad is seen for the near future of indian economy. My view is hold the cash position in short term...

Liquidity position in india is tight. Lack of liquidity is one of the reason for selling pressures seen on the market. Its good time for new MF launched... Let the IPO application money be back in the market....

I feel this correction was necessary and is good for the market... Lets take a lesson from this. We ourselves are responsible for such situations....

Kindly guide me on the Fed rate cut and its relation with the financial markets.