The U.S. Fed's massive unscheduled rate cut this morning is the clearest sign yet of how worried it is about the states of the economy and the markets, and more cuts are pretty much sure to follow, economists say. It also makes it more likely the Bank of Canada will cut its benchmark rates by 50 basis points, double the normal increment. The decision is due out within minutes. "This is the first rate cut of this magnitude since October 2nd,1984, and the first inter-meeting cut to the fed funds rate since September 17th, 2001 (just after 9/11)," Eric Lascelles, chief economics and rates strategist at TD Securities in Toronto, told clients in a note. "The magnitude of the action suggests that the Fed now treats both the economic and financial market conditions with a great deal of seriousness, and that the Fed was either well behind the curve or believes that the magnitude of the situation is the most serious in several decades." Mr. Lascelles added that, at this point, he is assuming that the Fed will cut rates by another 50 basis points at its regularly scheduled meeting on Jan. 30. Meanwhile, economist Michael Gregory at BMO Nesbitt Burns, concurred that more Fed cuts are coming, "and if the carnage continues in equity markets, this could be on Jan. 30. "Otherwise," he said in a note to clients, "we judge that the funds target is on a fast train to 2%. As for the Bank of Canada, the Fed's move tips the odds more towards a 50 pointer."