Fed Rates Cut by 0.5%, Crude-oil Rises

Wednesday, theFederal Reserve’s Open Market Committee cut interest rates again in a strategy for waridng off recession. The central bank cut the interest by half a point to 3%, and with this cut, it is the fifth time, rates are cut.

“The Fed might have some reservations right now on the inflation side,” said John Lonsky, US economist. “But in the view of the Fed, the supply of credit and weakening financial system is a more dire problem.”

Along with the cut, crude-oil futures rose. According to FOX,

“…crude’s rise was limited by a government report that showed U.S. oil inventories have risen more than expected. Crude for March delivery ended the volatile session up 69 cents, or 0.8%, at $92.33 a barrel on the New York Mercantile Exchange. The contract traded between the range of $92.71 and $91.05.”

These are hard times for America’s economy let’s see what comes out of this.

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