Interest rate cut by the Fed by 75 basis points (MarketWatch) (22-01-2008)

WASHINGTON (MarketWatch) -- In a decisive move to fight economic risk and financial market meltdown, the Federal Reserve has announced it is cutting its overnight lending rate by 75 basis points to 3.50%.

 This is the first time the Fed has had to cut interest rates between meetings since the 9/11 attacks in 2001. "The committee took this action in view of a weakening economic outlook and increasing downside risks to growth," the Federal Open Market Committee said in a statement. Downside risks to growth remain. The committee met on Monday evening.

Source: MarketWatch