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Message: Fed rate cut 0.75

Fed rate cut 0.75

posted on Dec 16, 2008 09:30AM
BULLETIN FED CUTS TARGET RATE BY THREE-QUARTERS OF A POINT TO 0.25%, VOWS TO USE ALL TOOLS

FOMC cuts rate 0.75 percentage point to 0.25%, use all tools

By Greg Robb
Last update: 2:21 p.m. EST Dec. 16, 2008

WASHINGTON (MarketWatch) - The Federal Open Market Committee Tuesday lowered its target for overnight interest rates by three quarters of one percent to a record low 0.25%. At the same time, the central bank released a statement that signaled an aggressive posture. It said it would keep rates low "for some time" and continue to expand its balance sheet to stabilize the economy. The vote to lower the Fed funds rate was unanimous. The move was expected as economic data over the last two months has show a sharp drop in activity.
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