OREANDA-NEWS. The United States Federal Reserve System at an extraordinary meeting unexpectedly lowered interest rate amid the spread of coronavirus infection.

The regulator’s release states that the indicator is reduced from 1.5–1.75 % to 1–1.25%. This decision was adopted unanimously. “The coronavirus poses evolving risks to economic activity,” the agency explained. At the same time, the US Federal Reserve emphasized that the American economy remains strong.

In mid-February, Fed Chairman Jerome Powell recalled that the regulator had cut rates three times in 2019 and made it clear that no further reductions were planned.

Bloomberg agency reported later that the administration of US President Donald Trump is considering ways to reduce the impact of the spread of COVID-19 on the economy, among which is a reduction in the Fed’s interest rate.