Feds Worried About A Recession

WASHINGTON (AP) - Fear among Federal Reserve policymakers about
a deep recession drove last month's vote to again cut a key
interest rate.
According to minutes of a March Fed meeting made public Tuesday,
some members thought a "prolonged and severe economic downturn"
could not be ruled out in view of tight credit and the slumping
housing market.
To limit damage to the economy, Fed Chairman Ben Bernanke and
most of his colleagues agreed to slash the interest rate by
three-fourths of a percentage point - to two and a quarter percent,
capping its most aggressive two months of action in a
quarter-century.

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(Copyright 2008 by The Associated Press. All Rights Reserved.)