The Federal Reserve made an emergency interest rate cut to zero on Sunday night, a dramatic step meant to make borrowing as cheap as possible for American households and businesses as the coronavirus brings the U.S. economy to a near standstill.
The benchmark U.S. interest rate will now be in a range of 0 to 0.25 percent, effectively bringing the rate to zero as President Trump has urged for months. the Fed also announced a significant increase in its bond purchases, a move similar to the large scale “quantitative easing” the central bank did in the aftermath of the Great Recession to try to get money flowing again in markets and the broader economy.
“The [Fed] expects to maintain this target range until it is confident that the economy has weathered recent events,” the central bank wrote in a statement released Sunday evening.
https://www.washingtonpost.com/busi...ero-part-wide-ranging-emergency-intervention/
The benchmark U.S. interest rate will now be in a range of 0 to 0.25 percent, effectively bringing the rate to zero as President Trump has urged for months. the Fed also announced a significant increase in its bond purchases, a move similar to the large scale “quantitative easing” the central bank did in the aftermath of the Great Recession to try to get money flowing again in markets and the broader economy.
“The [Fed] expects to maintain this target range until it is confident that the economy has weathered recent events,” the central bank wrote in a statement released Sunday evening.
https://www.washingtonpost.com/busi...ero-part-wide-ranging-emergency-intervention/
