Opinions: Will Microsoft make a retaliatory price reduction.

[Fonzerelli]

maybe a 50$ cut in price at the most, MS is still losing money on every X360 unlike what many may think.
MS might feel the water a bit, look at the weekly sales till E3. If PS3 has some sort of jump in sales, an X360 price cut might follow.
Personally I feel most PS3 buyers are waiting for a good games on the system.
Ninja Gaiden Sigmna + 100$ price cut might look nice but Ninja Gaiden is a M rated third person action game, i doubt it can break more than 500,000 in America and 1 million worldwide.
Even God Of War 2 has struggled to break through 1.5 million on the PS2.