U.S. Chamber Applauds Fed Rate Action

WASHINGTON, D.C. - The United States Chamber of Commerce applauded today's half-point cut in the federal funds rate by the Federal Reserve Board as an important first step.

"Today's prompt action will have an immediate impact on those who borrow at variable rates and give a big boost to the financial markets," said Martin Regalia, Chamber chief economist. "The half-point cut will go far to convince consumers and financial market participants that the Fed will do what is necessary to ensure continued economic growth.

"But today's one-half point is only one blade of the scissors - the other is a tax cut. Congress should recognize what the Fed has, that now is the time to pass a pro-growth, tax cut package to protect and extend our economic growth. A tax cut takes longer to implement, but swift action by the Congress will complement the Fed's move today - and what we hope will be further Fed action in the months ahead," said Regalia.

The U.S. Chamber of Commerce is the world's largest business federation representing more than three million businesses and organizations of every size, sector and region.

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