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Fed cuts the rates

Wall Street jumps after rate cut. The Federal Reserve lowered interest rates as expected to 4.50 percent.

The Dow rose after the decision, as well as the Standard & Poor’s 500 index and the Nasdaq composite index.

The dollar moved to a new all-time low after the Federal Reserve cut, the euro bought $1.4477, up from $1.4434.

If we still would have the German Mark (DM), we could see an all-time high of this old currency.

A lower dollar drives the demand for U.S. goods, but there is also an inflationary risk. It is pushing up the price of oil.

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