Today was the planned FOMC decision on interest rates and it seems there was a split between those looking for 25 or 50 basis points. We were in the latter group, or at least that is what we think it will take to smooth things out with added measures down the road (perhaps not in fed funds ahead though).
We got on the 50 basis point cut to 4.75% on FED FUNDS and got a 50 basis point cut to 5.25% on the DISCOUNT RATE. The markets have initially reacted in favor when you compare NOW to 2:10 PM EST. The DJIA is now up some 200 points, although we won’t speculate where these end up.
Here is the STATEMENT from the FOMC.
If you’d like to compare how this looks in comparison to the minutes of the August 7 meeting (released August 28), you can link to that here.
Here is a snapshot of where the markets were at 2:10 PM EST a few minutes ahead of the decision:
DJIA 13,478.86; +75.44 (+0.56%)
S&P500 1,485.77; +9.12 (+0.62%)
NASDAQ 2,591.06; +9.40 (+0.36%)
10YR-Bond 4.501% (+0.031%)
This follows today’s PPI release today that was great for the inflation hawk worries, although I have heard more people questioning the data than there are believers. We also had the weakest homebuilder sentiment reading supposedly in about 20 years.
Jon C. Ogg
September 18, 2007
The Average American Has No Idea How Much Money You Can Make Today (Sponsor)
The last few years made people forget how much banks and CD’s can pay. Meanwhile, interest rates have spiked and many can afford to pay you much more, but most are keeping yields low and hoping you won’t notice.
But there is good news. To win qualified customers, some accounts are paying almost 10x the national average! That’s an incredible way to keep your money safe and earn more at the same time. Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 3.80% with a Checking & Savings Account today Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Click here to see how much more you could be earning on your savings today. It takes just a few minutes to open an account to make your money work for you.
Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 4.00% with a Checking & Savings Account from Sofi. Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.