After the Fed, Europeans are turning their arms to support the feverish economy

Eurozone finance ministers meet by phone and the ECB is preparing to act.

Fed President Jerome Powell at a press conference in Washington on Tuesday.
Fed President Jerome Powell at a press conference in Washington on Tuesday. ERIC BARADAT / AFP

The cavalry arrives, with ammunition. The world’s great financiers lean at the bedside of their economies threatened by the coronavirus. Taking everyone by surprise, the US Federal Reserve drew the first.

It announced on Tuesday a drop of 0.50 points in its rates, now located in a range between 1% and 1.25%. A decision all the more spectacular since it was taken outside the calendar of its monetary meetings, unanimously. It is the first time that the central bank has acted in such an emergency since the 2008 financial crisis.

“The coronavirus poses an evolving risk economy, ” justifies the monetary institute. Its action aims to “Give our economy a boost”, whose “Fundamentals remain solid”, to believe its president Jerome Powell. For a country still relatively untouched by the epidemic (107 cases Tuesday afternoon according to the reference site of the Johns-Hopkins University), it was above all a question of

This article is for subscribers only. You still have 91% to discover.

Subscribe: € 1 for 2 months

cancellable at any time

.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.