 Washington Post | Fed Cuts Rate to 1% to Avert Prolonged Recession (Update2) Bloomberg - By Craig Torres Oct. 29 (Bloomberg) -- The Federal Reserve cut its benchmark interest rate by half a percentage point to 1 percent, matching a half-century low, in an effort to avert the worst US economic downturn in the postwar era. Aggressive Fed Cuts Key Rate by a Half-Point Fed cuts rates half-point, leaves door open for more |