The Federal Reserve went big on Wednesday, lowering its key interest rate by a half point, beginning a reversal of the tightest monetary policy in two decades while saying it believes inflation is under control.
There had been uncertainty right until the last minute whether the Fed would cut by 25 basis points or 50, but it chose the latter.
The move will bring some relief to consumers who have faced the highest borrowing costs in two decades but it is unclear how quickly other interest rates will drop. Much will depend on the course of the economy.
This post originally appeared at U.S. News & World Report.