Moments ago, the Federal Reserve took big action to help the American economy in the face of a slowdown due to businesses closing down all across the country.
According to reports, the Fed has launched a $700 billion quantitative easing program and cut interest rates to ZERO.
Here’s the breaking announcement from CNBC:
The Federal Reserve, saying “the coronavirus outbreak has harmed communities and disrupted economic activity in many countries, including the United States,” cut interest rates to zero on Sunday and launched a massive $700 billion quantitative easing program to shelter the economy from the effects of the virus.
Facing highly disrupted financial markets, the Fed also slashed the rate of emergency lending at the discount window for banks by 125 bps to 0.25%, and lengthened the term of loans to 90 days.
The Fed cut rates to a new range of 0% to 0.25% from 1% to 1.25% and said it would remain there “until it is confident that the economy has weathered recent events and is on track to achieve its maximum employment and price stability goals.”
This is a developing story. Check back for more…