Dollar rises on surprise Federal Reserve move

[babsbunny]

http://news.bbc.co.uk/2/hi/business/8523500.stm

The dollar has risen against a basket of currencies after the US Federal Reserve's surprise increase in interest rates for emergency bank loans.

The US central bank said late on Thursday that it was lifting its discount rate to 0.75%, from 0.5%.

Analysts saw the move as a sign that the Fed could soon raise its other key lending rate.

The dollar hit a nine-month high against the euro of $1.3477 before falling back to $1.3574.

[whattheidonot]

1. recession worse.

this will make recession worse. screw the working class. the economy is dry as a bone and interest rates are going up. that means something and it is not good. it means the government is in no position to fix much. it means unemployment will continue. the big guys win again.

[ThomWV]

2. Maybe if you're a farmer or one of the lucky ones employed making heavy equipment

Doesn't mean much to the rest of us though.