Federal Reserve Cuts Rate To 1.5 Percent

The Federal Reserve and a consortium of European central banks today announced a half a point cut in a key interest rate, a coordinated effort to stave off an economic slump even as they continue struggling to tackle a crisis in global financial markets.

The announcement eased losses on European stock markets and buoyed U.S. market futures that were pointing towards another troubled day on Wall Street.
The rate cuts, hinted at by Fed chairman Ben S. Bernanke yesterday then approved by the central bank overnight, reduces the target federal funds rate to 1.5 percent from 2 percent.

Joining the rate cut were central banks in Canada, England, Sweden, Switzerland and the European Central Bank.

Source: Washington Post (via email alert)