PDA

View Full Version : Fed Cuts Rates Boldly; Wall Street Wary


Chief
01-30-2008, 06:09 PM
http://seattletimes.nwsource.com/html/politics/2004153468_apfedinterestrates30.html

By JEANNINE AVERSA

AP Economics Writer

The Federal Reserve delivered powerful new relief to people and businesses squeezed by the ailing economy Wednesday, cutting interest rates ever deeper in an effort to avert or at least soften the blow of a recession.

The bold, half-point reduction approved by Fed Chairman Ben Bernanke and all but one of his colleagues came as President Bush and Congress raced to enact a separate rescue package _ including tax rebates for individuals and tax breaks for companies _ to help energize an economy in danger of stalling.

Heartened by the Fed's newfound aggressiveness, Wall Street rallied but then pulled back, still wary. The Dow Jones industrials jumped more than 200 points after the announcement but ended up down 37.47.

Such a mess...

:cool: