|
|
Article: US Fed raises federal funds rate to 2 percent
- Article from:
- Xinhua News Agency
- Article date:
- November 10, 2004
CopyrightCopyright 2004 Xinhua News Agency. Provided by ProQuest LLC. (Hide copyright information)
|
US Fed raises federal funds rate to 2 percent
WASHINGTON, Nov. 10 (Xinhua) -- The US Federal Reserve decided
Wednesday to raise the federal funds rate, the interest commercial
banks charge each other on overnight loans, by a quarter percentage
point to 2 percent from 1.75 percent.
This was the fourth time in a row this year the central bank moved
to push up the federal funds rate, which is the Fed's primary tool
for influencing economic activity.
The Fed started raising interest rates last June with the federal
funds rate at a 46-year low of one percent. The three quarter-point
rate hikes in June, August and September have boosted the funds rate
to 1.75 percent.
At the same time, ...