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Déjà vu: Fed Cuts Interest Rate 3/4 Point

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Everyone's favorite Fed gave its benchmark interest rate another proper spanking today, slashing it three-quarters of a point to 2.25 percent, one of the deepest reductions in Fed history. A lower Fed runds rate usually leads to lower interest rates for mortgages, loans, and borrowing; the Fed has been "startled and frustrated" that previous reductions were doing little to reduce those rates, which play a key role in major purchases such as homes. Hellfire and damnation abounds, as inflation rises, housing prices drop, and the dollar weakens against just about every currency save, say, Haiti's. We. Are. So. Screwed. [NYT]