FED cuts interest rates for third time in 2019
Pham Huan - VOV correspondent in the US -
(VOVWORLD) - The US Federal Reserve (FED) on Wednesday lowered its benchmark interest rate for the third time this year, to shore up US economic growth. The cut of 0.25 percentage points brings the FED's target rate into a range of 1.5% to 1.75%.
FED officials said there are no signs of a recession in the near future and the interest rate cuts are to protect the economy against rising instability. The FED has cut its prime rate 4 times last year.
The US stock market on Wednesday moved in opposite directions. The Dow Jones industrial index rose 9 points but the S&P 500 dropped 2 points, while the Nasdaq technology index fell 7 points.
With the US and China likely to reach a trade agreement, the FED will maintain this interest rate until there are signs indicating that the US economy needs a further "push".
Pham Huan - VOV correspondent in the US