The U.S. Federal Reserve has cut the discount rate by 25 basis points from 3.5 percent to 3.25 percent effective immediately.
The Central Bank also extended the maximum term of discount-window loans to 90 days from 30 days. The Fed, in a statement said that the moves were designed to bolster market liquidity and promote orderly market functioning.
US stock Index Futures rose after the unexpected rate cut, on the back of the news the US dollar edged higher against the Yen.
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