The chairman of the Federal Reserve Board Ben Bernanke cut the interest rates by 50 basis points to ease the pain of all those with mortgage payments to make.

However from what we can see mortgage rates have actually moved up thus causing more pain for home owners.

For example:

NEW YORK, Sept 20 (Reuters) - The average rate on a 30-year U.S. mortgage with no upfront points rose 1/8 of a percentage point on Thursday to 6-1/2 percent, according to BestInfo Inc.

CHICAGO (MarketWatch) — Long-term mortgage rates moved slightly higher this week, with the 30-year fixed rate averaging 6.34%, up from last week’s 6.31% average, according to Freddie Mac’s weekly survey released on Thursday.

This tells us that the mission has failed and the Feds will need to take further action, that’s right another rate cut! Our guess is that we will see another cut, of say, 25 basis points within a month.
Meanwhile Comments from Fed Chairman Ben Bernanke on Thursday that global financial losses stemming from disarray in the U.S. subprime mortgage market has “far exceeded even the most pessimistic estimates” is an indication that he has more work to do.

A plunging US Dollar will send gold higher as investors look for safety and gold and its associated stocks are offering that right now.