Federal open market committee directive and discount rate decrease. (Announcements).The Federal Open Market Committee decided on November 6, 2001, to lower its target for the federal funds rate Federal Funds Rate The interest rate at which a depository institution lends immediately available funds (balances at the Federal Reserve) to another depository institution overnight. by 50 basis points to 2 percent. In a related action, the Board of Governors approved a 50 basis point reduction in the discount rate to 1 1/2 percent. Heightened uncertainty and concerns about a deterioration in business conditions both here and abroad are damping economic activity. For the foreseeable future, then, the Committee continues to believe that, against the background of its long-run goals of price stability and sustainable economic growth and of the information currently available, the risks are weighted mainly toward conditions that may generate economic weakness. Although the necessary reallocation of resources The provision of logistic resources by the military forces of one nation from those deemed "made available" under the terms incorporated in appropriate NATO documents, to the military forces of another nation or nations as directed by the appropriate military authority. to enhance security may restrain advances in productivity for a time, the long-term prospects for productivity growth and the economy remain favorable and should become evident once the unusual forces restraining demand abate abate v. to do away with a problem, such as a public or private nuisance or some structure built contrary to public policy. This can include dikes which illegally direct water onto a neighbors property, high volume noise from a rock band or a factory, an improvement . In taking the discount rate action, the Federal Reserve Board approved the discount rate request submitted by the board of directors of the Federal Reserve Bank of Richmond The Federal Reserve Bank of Richmond is the headquarters of the Fifth District of the Federal Reserve located in Richmond, Virginia . It covers the District of Columbia, Maryland, Virginia, North Carolina, South Carolina and most of West Virginia. . The Federal Reserve Board also approved actions by the boards of directors of the Federal Reserve Banks of New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of and San Francisco San Francisco (săn frănsĭs`kō), city (1990 pop. 723,959), coextensive with San Francisco co., W Calif., on the tip of a peninsula between the Pacific Ocean and San Francisco Bay, which are connected by the strait known as the Golden , decreasing the discount rate at the banks from 2 percent to 1 1/2 percent, effective immediately. In addition, the Board approved action by the board of directors of the Federal Reserve Bank of St. Louis, decreasing the discount rate at that bank from 2 percent to 1 1/2 percent, effective Wednesday, November 7, 2001. The Federal Reserve Board approved on November 7, 2001, actions by the boards of directors of the Federal Reserve Banks of Philadelphia, Chicago, and Minneapolis, decreasing the discount rate at the banks from 2 percent to 1 1/2 percent, effective immediately. On November 8, 2001, the Federal Reserve Board approved actions by the boards of directors of the Federal Reserve Banks of Boston, Cleveland, Atlanta, Kansas Atlanta is a city in Cowley County, Kansas, United States. The population was 255 at the 2000 census. Geography Atlanta is located at (37.435287, -96.768672)GR1. City, and Dallas, decreasing the discount rate at the banks from 2 percent to 1 1/2 percent, effective immediately. |
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