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Watch What the Fed Watches - How Much Will the Fed Cut?

Wednesday, 24 October 2007 18:01:48 GMT

Written by Antonio Sousa and David Rodriguez
  • The Federal Reserve could cut interest rates by 25 bps to rescue the U.S. credit market. But will it be enough?
  • The spread between risk-free treasuries and junk bonds remains above 425 basis points on higher risk aversion
  • Shares in consumer spending, housing, and lending sectors continue to underperform the overall market

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