|
|
Article: Fed aggressively cuts funds rate by three-fourths of a percentage point
- Article from:
- AP Worldstream
- Article date:
- March 18, 2008
- Author:
CopyrightCopyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. (Hide copyright information)
|
The Federal Reserve on Tuesday slashed a key interest rate by three-fourths of a percentage point, moving aggressively to contain a credit crisis threatening to push the U.S. into a severe recession.
The latest action brought the federal funds rate _ the interest that banks charge each other _ down to 2.25 percent, the lowest point since late 2004. It marked the second cut of three-fourths of a percentage point this year. The first occurred at an emergency meeting on Jan. 22 and was followed by a half-point cut at a regular meeting on Jan. 30.
Fed Chairman Ben Bernanke and his colleagues have now cut the funds rate six times since last September, with the reductions ...