Fed slashes main interest rate to zero in historic move designed to cushion economic blow of coronavirus pandemic

• The Federal Reserve slashed its main interest rates to zero in an emergency move. It's part of a broader government effort to ease the economic effects of the coronavirus pandemic.
• President Donald Trump, who long called for the Federal Reserve to cut interest rates, said the move made him "very happy."
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The Federal Reserve slashed its benchmark interest rate on Sunday by a full percentage point to near zero.

The central bank also said it will increase its bond holdings by $700 billion. The emergency moves are part of a broader government effort to ease the economic effects of the coronavirus pandemic.

"The coronavirus outbreak has harmed communities and disrupted economic activity in many countries, including the United States," the central bank said in a statement on Sunday.

"Global financial conditions have also been significantly affected," it added. "Available economic data show that the US economy came into this challenging period on a strong footing."

President Donald Trump, who long called for the Federal Reserve to cut interest rates, said the move made him "very happy."

This is a developing story. Check back for updates.