Re: Fed cuts by a quarter

Just got the notification at 6:21 PM Sunday night!
WTF?  These guys are scared ****rtless!


Federal Reserve Board Notification
<frboard-webannouncements@[EMAIL PROTECTED]
>
03/16/2008 06:21:50 PM:

Federal Reserve announces two initiatives designed to bolster market
liquidity and promote orderly market functioning.

Released by the Board of Governors of the Federal Reserve System

Release Date: March 16, 2008

For immediate release

The Federal Reserve on Sunday announced two initiatives designed to
bolster market liquidity and promote orderly market functioning.
Liquid, well-functioning markets are essential for the promotion of
economic growth.

First, the Federal Reserve Board voted unanimously to authorize the
Federal Reserve Bank of New York to create a lending facility to
improve the ability of primary dealers to provide financing to
participants in securitization markets. This facility will be
available for business on Monday, March 17. It will be in place for at
least six months and may be extended as conditions warrant. Credit
extended to primary dealers under this facility may be collateralized
by a broad range of investment-grade debt securities. The interest
rate charged on such credit will be the same as the primary credit
rate, or discount rate, at the Federal Reserve Bank of New York.

Second, the Federal Reserve Board unanimously approved a request by
the Federal Reserve Bank of New York to decrease the primary credit
rate from 3-1/2 percent to 3-1/4 percent, effective immediately. This
step lowers the spread of the primary credit rate over the Federal
Open Market Committee's target federal funds rate to 1/4 percentage
point. The Board also approved an increase in the maximum maturity of
primary credit loans to 90 days from 30 days.

The Board also approved the financing arrangement announced by
JPMorgan Chase & Co. and The Bear Stearns Companies Inc.

:

http://www.federalreserve.gov/newsevents/press/monetary/20080316a.htm