The US Federal Reserve has cut a key interest rate by half a percentage point, as America tries to avoid recession.  The Fed's action (1/30) is part of an agressive effort to halt a sharp slowdown in the US economy, which has been hit by a housing slump and credit crunch.  America's federal funds rate is now at three percent, the lowest since June 2005.  The Federal Reserve's decision comes eight days after its emergency rate cut of three-quarters of a percent.  In a statement released today, the Federal Reserve says it's cutting interest rates again, this time by half a percent, because financial markets "remain under considerable stress".  It also says credit has tightened further for some businesses and households and that there has been a deepening of the housing contraction.  The US Commerce Department reported today that the economy nearly stalled in the fourth quarter of last year, with a growth rate of just 0.6 per cent. 
美國聯儲局以九票對一票通過將聯邦基金利率調低半厘,由三厘半減至三厘,是零五年六月以來最低.連同上星期突然減息四分三厘,聯邦基金利率累積減了一厘二五.另外,貼現率亦減半厘,減至三厘半.

Hoping to prevent a market meltdown and recession, the Federal Reserve lowered its overnight lending rate by 75 basis points to 3.50% on Tuesday (1/22) in a rare move between formal meetings.  SB120100837976106391
美聯儲為挽回市場信心，突然宣布減息四分三厘，聯邦基金利率降至三厘半，貼現窗利率落到四厘的水平。

Congress approved a USD168 billion economic stimulus plan, paving the way for more than 130 million households to receive rebate checks.  Bush unveiled a stimulus plan of tax cuts and rebates that could reach USD150 billion, aimed at boosting business and consumer spending. Democrats argue that the plan doesn't address the problems of homeowners and low-income people hit by high oil prices.  1/19  SB120066658450000649  A Recession, If It Comes, Could Be Worse Than Those of Recent Past  1/21  SB120086867005203883  OP: Feel-Good Economics  1/19  SB120070786488902199  Bush and Congress are near a pact on an economic-stimulus package. The president is expected to propose rebates for taxpayers and tax breaks for businesses.  1/18  SB120058201337297741  Bernanke Shows Agility on the Hill: Fed Chief Lauds Initiatives Of Democrats, Republicans, Avoids Political Minefields  SB120057564299797537  Clinton Adds Rebate To Economic Proposal  SB120061974887199345

美國總統喬治布殊公佈刺激經濟方案，希望透過總值約一千四百五十億美元的稅務寬減措施刺激經濟避免出現衰退。布殊說為了取得成效，方案總值要大約相當於國民生產總值的大約1%。措施必須包括提供稅務誘因，鼓勵企業投資以及向個人提供直接及迅速的稅務寬減。布殊強調，美國經濟基調穩固，預料今年繼續增長，但速度較過去數年放慢並且有下滑風險。他呼籲國會盡快通過相關法案令美國經濟保持增長及製造就業. 

At Ground Zero, Optimism Returns: Westfield said plans for the World Trade Center site include luxury retailers and predicts some of the country's highest rents.  1/16  SB120044956724393227

The Dow industrials (1/15) tumbled 277.04 to 12501.11 on concern over consumer spending and Citigroup's mounting losses. The selloff demonstrates that the housing and credit woes have morphed into a threat to the broader economy.
1/16  SB120045226086393221  A Risk Protest: 277.04 Points  1/16  SB120045260395193413

Greenspan Sees U.S. as Likely In Recession, or Soon to Be  1/15  SB120036887435090605
States to Tighten Belts as Weakness Of Economy Cuts Into Tax Receipts  1/15 SB120036069725690073

Fed Chairman Bernanke has decided to speak more often and more clearly about the economic outlook, after the Fed was blasted for contradictory signals.  1/14  SB120026450118887031  SB120028604808287999

Companies around the U.S. are beginning to see alarming figures amidst a U.S. slowdown, so many are beginning to take a proactive stance through financial planning in order to remain successful.  1/14  SB120026097941786897

Oil Prices Pump Up Trade Deficit  1/12  SB120005818017883757

Weak retail sales were among the economic indicators prompting Federal Reserve Chairman Ben Bernanke to hint at further cuts in interest rates.  Bernanke Opens Door to Steep Cuts Amid Increased Risks to Economy  2008/1/11  
SB119998596045681265
SB120002955100583527

America's Federal Reserve, the European Central Bank, the Bank of England and the central banks of Canada and Switzerland launched a co-ordinated effort to bolster liquidity. After several months of turmoil, financial institutions are still reeling from the squeeze in money markets and access to credit has tightened. The Fed and its partners are introducing loans to depository institutions for a temporary period to ease their funding pressures.

Earlier, the Federal Open Market Committee cut America's benchmark interest rate by one-quarter of a percentage point, to 4.25%. It was the third rate reduction since August and comes amid much discussion about whether America is heading towards an economic recession. 

Greenspan succeeded by Bernanke
AWSJ 2006feb01 FP A11, 14, 15

-0-