Cut in rates: A Band-Aid on a gunshot wound

This quote from a CNN Money article caught my eye, "It's a Band-Aid on a gunshot wound," said Chris Johnson, chief investment officer at Johnson Research Group.

As I pointed out earlier, not everyone believes the drop in rates will be enough to do more than create a temporary feeling of security on Wall Street. Some other noteworthy statements from the article:

"The bottom line is the credit situation, the subprime situation, and the confluence of all these items runs a lot deeper through the Street than a Fed move or even a Fed rate cut can fix," Johnson said.

The move soothes some of the nerves in the debt market for the time being, but to think longer-term problems have dissipated would be "naive," said Ryan Atkinson, vice president and market analyst at Balestra Capital.

"By lowering the discount rate, the Fed can target those banks that were too worried to lend money," Atkinson said. "That will settle things in the short-run, but won't help the long-term issue."

We'll see in the next few days to come how quickly the 120 billion pumped into the banking system and the drop in the rate stops keeping things calm...