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Why the Dow plummeted after the Federal Reserve set interest rates at 0%

Mar 21, 2020, 03:04 IST

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  • The Federal Reserve cut interest rates to 0%.
  • Usually when this happens, the stock market goes up.
  • That didn't happen this time - trading was halted, and the market went down even more the next day.
  • Because rates were already low, there wasn't much further the rate could have gone - which means the Fed is out of bullets.
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