S&P 500
7,239.20
+0.18%
Dow Jones
49,474.60
-0.04%
Nasdaq 100
27,784.20
+0.36%
Russell 2000
2,810.21
+0.19%
FTSE 100
10,364.50
0.00%
Nikkei 225
59,737.50
+0.80%

Banking, finance, and taxes

FOMC Enters Realm of 0% Interest Rates

Photo of Douglas A. McIntyre
By Douglas A. McIntyre Updated Published
Follow 24/7 Wall St. on Google
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

Money_stack_pic_3The FOMC voted, and the Fed Funds Rate has now been given a TARGET RANGE of 0% to 0.25%.

The Discount Rate was cut 0.75% and is now at 0.50%.

Some of the statements are as follows:

  • Sees rate at exceptionally low levels for some time;
  • Labor markets have deteriorated;
  • Inflationary pressures diminished appreciably;
  • Inflation to moderate in coming quarters;
  • Will purchase large quantities of Treasuries;
  • Vote: was 10-0 for FED FUNDS rate action;
  • Outlook for economic activity has weakened further;

A link to the text of the FOMC statement is here.

The dollar just tanked on this news against foreign currencies.

The 10-Year is now yielding 2.43% and the 30-year Treasury yield came in to a low yield of 2.88% right after the news.

Jon C. Ogg
December 16, 2008

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

Featured Reads

Our top personal finance-related articles today. Your wallet will thank you later.

39% of Americans Are Betting on Crypto and Prediction Markets Instead of Saving
David Beren |

39% of Americans Are Betting on Crypto and Prediction Markets Instead of Saving
A $300,000 Annuity Guarantees $1,900 a Month for Life, but Here Is What Retirees Are Giving Up
Drew Wood |

A $300,000 Annuity Guarantees $1,900 a Month for Life, but Here Is What Retirees Are Giving Up

Continue Reading

Jon C. Ogg |

FOMC Backs Away From More Easing

Ben Bernanke and friends at the FOMC decided today to keep Fed Funds unchanged at 0.00% to 0.25% and decided…
November FOMC Statement Points to Moderated Business Investment Growth
Jon C. Ogg |

November FOMC Statement Points to Moderated Business Investment Growth

  The Federal Open Market Committee has released its statement on the decision on whether or not to raise interest rates.…
The FOMC May Have Just Blinked Over Not Getting Too Carried Away With Interest Rate Hikes
Jon C. Ogg |

The FOMC May Have Just Blinked Over Not Getting Too Carried Away With Interest Rate Hikes

Many investors seem to get scared going into some Federal Reserve meetings, particularly when we are in a period of…
Jon C. Ogg |

Bernanke Throws $400 Billion at ‘The Twist’

Ben Bernanke and friends at the FOMC gave their decision on interest rates today.  As you would expect, there was…
How Rising Interest Rates Can Impact Your Mortgage and Housing Affordability
Jon C. Ogg |

How Rising Interest Rates Can Impact Your Mortgage and Housing Affordability

Now that the Federal Reserve has voted to raise interest rates for the first time in 2017, it is important…
The October FOMC Meeting May Be the Last Rate Cut of 2019
Jon C. Ogg |

The October FOMC Meeting May Be the Last Rate Cut of 2019

The last week of October is going to be an important one for the global financial markets. The Federal Reserve's…
Why the Yellen and Fed Rate Hikes Are Favorable — With More Hikes to Come!
Jon C. Ogg |

Why the Yellen and Fed Rate Hikes Are Favorable — With More Hikes to Come!

If you were under the belief that the underlying economy was not yet strong enough to support an interest rate…
Janet Yellen Continues Moving to Reduce the Federal Reserve’s $4.5 Trillion Balance Sheet
Jon C. Ogg |

Janet Yellen Continues Moving to Reduce the Federal Reserve’s $4.5 Trillion Balance Sheet

Any time there is a Federal Reserve meeting investors pay attention. After all, the Federal Open Market Committee is the…
Jon C. Ogg |

Janet Yellen and FOMC Verdict on Tapering, Quantitative Easing, Rate Hikes

Jon OggJanet Yellen and the Federal Reserve have released their statement for the July 29 to 30 FOMC meeting. As…

Top Gaining Stocks

Cboe Global Markets
CBOE • Vol: 1,568,143
New Pluto Global
PSKY • Vol: 12,285,993
Seagate Technology
STX • Vol: 7,378,346
Oracle
ORCL • Vol: 26,317,675
Datadog
DDOG • Vol: 6,247,779

Top Losing Stocks

LKQ
LKQ • Vol: 4,367,433
Clorox
CLX • Vol: 13,260,523
Stryker
SYK • Vol: 4,519,455
Mohawk Industries
MHK • Vol: 1,859,865
Amgen
AMGN • Vol: 3,818,618