The Federal Reserve cut interest rates Tuesday in a rare emergency move, responding aggressively to the growing threat the coronavirus poses to the economy and financial markets.
The Fed lowered its key federal fund rates by half a percentage point to a range of 1% to 1.25%, the central bank said in a statement. It marked the Fed's first rate cut between scheduled meetings since the depths of the financial crisis in 2008.
Stocks swung wildly through the morning. After sliding earlier on the absence of a more forceful response from global central banks, the Dow was up more than 100 points after the Fed announced the rate cut. But then the blue-chip index reversed course and was down more than 200 points in midday trading.