The Federal Reserve slashed its key lending rate by half a percentage point on Tuesday in an emergency move aimed at preventing the coronavirus outbreak from dragging the global economy into a recession.
Conway G.
Gittens reports.
The Federal Reserve slashed its key lending rate by half a percentage point on Tuesday in an emergency move aimed at preventing the coronavirus outbreak from dragging the global economy into a recession.
Conway G.
Gittens reports.
In its most aggressive move since the financial crisis - The Federal Reserve Tuesday cut its benchmark rate by one-half a percentage point.
The emergency measure is designed to shield the world's largest economy from the impact of the spreading coronavirus.
In a statement, the central bank said the fundamentals of the economy remain strong, but still it was cutting rates by a half percentage point to a target range of 1.00 percent to 1.25 percent... The decision was unanimous among policymakers.
The Fed's unusual decision to cut interest rates before the next scheduled policy meeting in mid-March reflects the urgency with which the Fed feels it needs to act in order to prevent the possibility of a global recession.
Investors had been clamoring for the Fed to take action - after stocks suffered their worst losses in over a decade last week.
Stocks rebounded sharply on Monday - on hopes the Fed would cut rates..
... but some on Wall Street remain skeptical a rate cut is the remedy needed to deal with the financial damage and supply chain disruptions caused by the coronavirus outbreak.
Stubbornly high inflation has scrambled the central bank’s outlook. Wall Street is now shifting focus to Friday’s jobs report..
US stocks are rallying after the head of the Federal Reserve said its next move on interest rates is unlikely to be a hike, even as..