As the calendar quarter winds down, let's take look at some of this coming week's biggest expected earnings gainers.

Analysts surveyed by Thomson Reuters expect Memphis-based Fred's Inc. (NASDAQ: FRED) to report fourth-quarter earnings of $0.22 per share, 36.4% higher than a year ago, and revenue of $472.5 million, down 4.4%. For the full year, the forecast is for a profit of $0.66 per share on revenue of $1.8 billion, compared to $0.52 per share and $1.8 billion in the previous year. The discount retailer beat or met earnings estimates in the past three quarters. The long-term EPS growth forecast is 14.0%, which is better than the industry average and that of larger rival Walmart Stores Inc. (NYSE: WMT), and the forward PE ratio estimate is 15.0. In the third quarter, the company had more cash than debt. The consensus recommendation of analysts is to buy FRED. The share price has risen 2.7% since the beginning of the year to $11.05.

If Federal Reserve Chairman Ben Bernanke, as economists surveyed by Bloomberg News expect, cuts interest rates at least twice this year, will the good times start to roll? Not quite.

As BusinessWeek points out, life after the rate cut might not be a bowl of cherries. "The nightmare scenario for the Fed is that it cuts interest rates and only manages to get the markets worried about higher inflation without reviving the economy," the magazine says. "That's a recipe for stagflation."

The impact of the rate cuts on the economy won't been apparent for about six months, Edward Jones Investment Strategist Alan Skrainka told USA Today, adding that the Fed's action won't bail out homeowners who are in danger of losing their homes to foreclosure nor will it make banks more willing to lend.

But the risks of a recession are too large to ignore.