Daily Archives: January 24, 2008

By Stephen Cecchetti

Tuesday morning’s sudden interest rate cut by the Federal Reserve’s Open Market Committee came as a shock even to those of us who live and breathe this sort of thing. The 75 basis point reduction to 3.5 per cent in the committee’s target for the overnight interbank lending rate was the largest single day move since the Fed adopted its current procedures in 1982. Not only was the action unprecedented in size, it was taken following a quickly organised conference call during the evening of a national holiday. Read more