According to Jim Rogers and Marc Faber, the Fed's decision to lower rates is a very bad idea.  It will result in a dollar crash, runaway inflation and an eventually even worse recession. There are videos of both men, in the right hand column. 

Rogers, Faber Say Fed Rate Cuts Will Spur a Recession

Barry Riholtz has some choice words for this cut, which are a bit more earthy, with some sound trading advice along the way.  

"Why did Bernanke blink? "The tightening of credit conditions has the potential to intensify the housing correction and to restrain economic growth more generally." The hope is today’s action will "help forestall some of the adverse effects on the broader economy" that could arise from financial market disruptions.

The flip side is concerns about inflation. The FOMC statement read "Readings on core inflation have improved modestly this year. However, the Committee judges that some inflation risks remain, and it will continue to monitor inflation developments carefully."

As to the Dollar, Oil, Gold,  soft commodities: We're long them all ('cepting the greenback) through one asset class or another.

The Fed now has a third problem to deal with: They have become Wall Street's (rhymes with witch). They may find that's a difficult condition to wriggle out from . . ."

Now for my opinion.  The Fed has been desperately banging on all the liquidity pipes, once the commercial paper market seized up, and other credit markets started to show some serious problems.  None of these solutions worked.  Lacking any meaningful understanding of the real credit markets, they dropped the big one, and hoped it would change things for the better. 

The folks at Pimco are looking at a drop of the Fed Funds rate to 3%+.  Here we go.   

Unfortunately, this rate cut thing is the kind of drug that feels good every dose, but can make for a heck of a morning after.  hmmm...