Federal Reserve lowers Interest Rates

The Federal Reserve has cut interest rates once again. On Wednesday, the central bank cut short term rates by half-a-point, moving to address an economic slowdown and weakness in global stock markets. This comes on top of the reduction of three-quarters of one-percent seen just over a week ago. University of Florida Economist, David Denslow says these rate cuts are coming out of fear. The Fed says more cuts are possible in the future. Denslow says not to worry; in the past, the rates have been much lower. Stocks also rose sharply after the announcement of the cut.

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