Finance, Forex and Investments

Why the big fuss on interest rates does not help for refinance?

I understand, but don't see the point about the federal reserve lowering interest rates and making a big deal over it, when the 30 or 15 year interest rate on mortgages are still not going down. Mine is at 6.25 for 30 years but would like to have a 4.75 for 15 years. The cost is not worth it for much less change than that. What do you think? I know it doesn't make a difference on mortgage but then why is the news acting like its going to save home owners?

Public Comments

1. The Fed Funds Rate is for overnight transaction between banks and the federal reseve bank. It does not have a darn thing to do with mortgage rate. The best inicator there is the T bill and the London Inter Bank Offer rates. They have the most impact.