Fed cuts rates - papers 7 November

The US Federal Reserve bank went with caution yesterday when in announced a full 0.5% cut to base interest rates, which takes the country to an historically low 2% base rate. As the FT noted today, this brought the number of cuts this year to 10, and now means that real interest rates are effectively zero given the effects of what little inflation there is in the US economy. And there is more to come, according to the notes released by the committee that decides rate changes. It said further economic deterioration was likely given the increasing softness of both the US and oth...