The Federal Open Market Committee cut the fed funds rate target 50 basis points to a range between 1% and 1.25%, it announced Tuesday.
While economic fundamentals “remain strong,” the panel said in a statement, “the coronavirus poses evolving risks to economic activity.”
As a result, and “in support of achieving its maximum employment and price stability goals,” the panel took the action two weeks before its next scheduled meeting.
“The Committee is closely monitoring developments and their implications for the economic outlook and will use its tools and act as appropriate to support the economy,” the statement said.
(Read more: The Bond Buyer)
