Tuesday, December 16, 2008
Fed cuts to near zero
Posted by David Smith at 10:00 PM
Category: Thoughts and responses

A big moment. The Federal Reserve, having been expected to cut the Fed Funds rate from 1% to 0.5%, went even further, effectively cutting to zero (0% to 0.25%). It signalled that this exceptionally low rate was likely to last "for some time" and that it would undertake unconventional measures such as buying debt, printing money in the vernacular. This is its statement.