Hi REINE,
One of the interesting aspects of DS questions is that you don't have to deal with the two Facts in the order that they're provided (meaning that you can 'jump' to Fact 2 first if you choose). By working with the information in a different 'order', you can sometimes save time on the overall amount of work that you have to do to answer the question.
Here, we're asked if X is less than Y. This is a YES/NO question. Clearly, to answer this question, we need information on BOTH variables (either individually or how they relate to one another).
2) X < 0
This tells us nothing about the value of Y, so it's clearly INSUFFICIENT. However, it gets me thinking that we might need to focus on NEGATIVE values of X to get to the solution....
1) Y = X^(-3)
IF....
X = -1, then Y = (-1)^(-3) = 1/(-1)^3) = 1/-1 = -1
Here, X and Y are EQUAL, so the answer to the question is NO.
X = -2, then Y = (-2)^(-3) = 1/(-2)^3) = 1/-8 = -1/8
-2 IS less than -1/8, so the answer to the question is YES.
Fact 1 is INSUFFICIENT
Since we know that the answer to the question changes depending on the relative NEGATIVE value of X, there's no more work to be done. We already have two TESTs that 'fit' both Facts.
Combined, INSUFFICIENT
Final Answer: E
GMAT assassins aren't born, they're made,
Rich