http://money.cnn.com/…

The Federal Reserve, working in coordination with other central banks worldwide, enacted an emergency interest rate cut on Wednesday.

The Fed lowered its fed funds rate by half of a percentage point to 1.5%. This rate is the central bank’s key tool to affect the economy. Lowering the rate pumps money into the economy by reducing the borrowing cost on a broad range of loans, including credit cards, home equity lines and many business loans.

The moves were made in coordination with other central banks around the world including the European Central Bank and Bank of England.

The Bank of Canada, the Bank of England, the European Central Bank, Sveriges Riksbank, the Swiss National Bank, and the Bank of China all all in this too with the Bank of Japan providing moral support. CNN happened to be interview the president of the Council on Foreign Relations, a globalist / neo-merchantilist organization sponsored by Wall Street, when the story broke. He was saying how great it was that all the banks worked together to lower rates. When the topic turned to the presidential debate from last night and Barack Obama’s outright claim of unilateral attack in Pakistan to get Osama bin Laden he was again singing praise.

The Fed keeps pushing and pushing. This inflation is going to catch up with us sooner or later and we will be in a world of hurt.

Here is the statement by the Federal Reserve regarding the cut.

The discount rate was dropped to 1.75%

http://www.bloomberg.com/…

The Federal Reserve will pump an additional $630 billion into the global financial system, flooding banks with cash to alleviate the worst banking crisis since the Great Depression.

The Fed increased its existing currency swaps with foreign central banks by $330 billion to $620 billion to make more dollars available worldwide. The Term Auction Facility, the Fed’s emergency loan program, will expand by $300 billion to $450 billion. The European Central Bank, the Bank of England and the Bank of Japan are among the participating authorities.

The Fed’s expansion of liquidity, the biggest since credit markets seized up last year, came hours before the U.S. House of Representatives rejected a $700 billion bailout for the financial industry. The crisis is reverberating through the global economy, causing stocks to plunge and forcing European governments to rescue four banks over the past two days alone.

“Today’s blast of term liquidity will settle the funding markets down, and allow trust to slowly be restored between borrowers and lenders,” said Chris Rupkey, chief financial economist at Bank of Tokyo-Mitsubishi UFJ Ltd. in New York. On the other hand, “the Fed’s balance sheet is about to explode.”

Is that hyperinflation I hear? Who needs Congress when you already have the power to bailout these institutions in other ways?

All the money in the world wouldn’t help this… why do they continue to try?