The Federal Reserve stepped in to help the commercial paper market and overnight lending to investment banks.
In The News
The Federal Reserve (Fed) took four immediate actions in reaction to economic risks from the coronavirus (COVID-19) outbreak
US payrolls added 273,000 in February, well ahead of consensus expectations, while the unemployment rate drifted lower to 3.5%.
The Federal Reserve (Fed) cut the federal funds target rate by half a percentage point (0.50%) to blunt some of the downside economic risk from the coronavirus (COVID-19) outbreak.
Upon revision, fourth quarter gross domestic product (GDP) grew 2.1% on a seasonally-adjusted annualized basis, maintaining the same pace as the prior release, which was also the consensus expectation.
The House of Representatives and Senate passed their separate versions of the tax reform bill in November and December, respectively. Subsequently, the two houses of Congress sorted out their differences and reached a conference agreement on the final version of the Tax Cuts and Jobs Act and passed the conference agreement bill.