There is a full economic calendar this week, but all eyes will be on the two-day FOMC meeting and the rate decision on Wednesday.

It will be interesting to see how the FOMC approaches this meeting. The current Fed Funds target rate is 0-0.25%, which in and of itself is rather strange. It is a moving target, not a fixed rate. Who determines which rate is used? My guess is this meeting will be used to clarify what the rate is. The Fed will either officially reduce it to 0% in a continued effort to resuscitate the economy, or lock it in at 0.25%. This would at least leave the Fed with one perceived bullet in the gun.

The rest of the…

President Barack Obama’s $825 billion stimulus plan heads to the floor of the House of Representatives this week, with House Minority Leader John A. Boehner, R-Ohio, saying many in his party will vote against the package unless significant changes are made.

President-elect Barack Obama’s transition team is reportedly putting the finishing touches on an economic recovery plan that could run from $675 billion to $1 trillion, though many experts believe the program will most like range between $700 billion and $800 billion.

With the benchmark Federal Funds rate already down to 1.0%, U.S. Federal Reserve Chairman Ben. S. Bernanke has only so much room for another cut (although many economists are predicting an additional half-percentage-point cut at the Dec.15-16 meeting).

Cyber Monday was better for online retailers than most expected. But consumers were only interested in heavily-discounted goods. That’s why Andrew Snyder thinks eBay (NASDAQ:EBAY) is well placed to turn a profit this Christmas. It not only attracts bargain hunters, but also sellers desperate to raise cash. And better still, it has a balance sheet that most companies dream of these days.

Retail experts are predicting one of the most dismal holiday shopping seasons in decades this year – a crucial stretch that will set the stage for poor retail sales throughout 2009.

While investors remain extremely concerned about the volatility of the U.S. stock market, the weakness of the American economy and the uncertainty of the global financial markets, last week brought “slight” relief from the excessive panic of the eight-trading-session losing streak.

eBay’s Copy Cat Move; Mortgage Applications at New Low; FDIC Extends Help to IndyMac Customers; Oil’s Wild Ride; Suntech Stock Shines; BJ’s Stock Slump; HP Beats Expectations; TVA Hikes Rates 20%

Small online businesses are in for a serious wake-up call in 2011, says Mark Nestmann in The Sovereign Society. This is because it will then become mandatory for all electronic payment systems to report sales data to the IRS. The agency will then be able to check these records against filed tax returns from business owners.

A hectic week on the economic calendar is highlighted by the initial look at second quarter gross domestic product (GDP). Remember, a recession is defined as two consecutive quarters of negative growth, so doomsayers have targeted this week’s release as confirmation of their pessimism.