LA Times Staffer: Weakening Dollar Has done wonders for the Sub Prime Crisis, Other Nation's Currencies

E. Scott Reckard of the L.A. Times writes about how Fed interesting rate cuts have actually managed to keep the subprime mortgage crisis in check:

"The great mortgage reset of 2008 isn't turning out quite as advertised.

Thanks to interest rate cuts by the Federal Reserve, payments on sub-prime loans with expiring "teaser" rates are going up only modestly when the loans start adjusting -- by just 1% on average last month, one study found. A payment that would have risen by $450 in December is currently going up by no more than $100 and often much less, according to Tom Deutsch, an industry expert who testified recently to a housing panel of Congress."