FED Cuts Discount Rate, Futures Spike

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What appears to be the beginning of another bad day for Wall St.. was turned around as the Federal Reserve cut the discount rate from 6.25% ot 5.75%. Futures are now up sharply.

In its statement, the agency said "To promote the restoration of orderly conditions in financial markets, the Federal Reserve Board approved temporary changes to its primary credit discount window facility." "

"Financial market conditions have deteriorated, and tighter credit conditions and increased uncertainty have the potential to restrain economic growth going forward."

Douglas A. McIntyre