Sensex, Nifty close at their lowest levels in five months
Tide of bad news has spooked the market
Fed chair Jerome Powell, later in the presser, said that the rate cut has been in the pipeline for a while and doesn't necessarily portend a long cycle of rate cuts
Financial markets had widely expected the quarter-percentage-point rate cut, which lowered the US central bank's benchmark overnight lending rate to a target range of 2.00% to 2.25%
The Republican president has blamed the Fed under Chairman Jerome Powell for undercutting his administration's efforts to boost economic growth
More monetary accommodation can lead to higher risks
Here is a brief summary of various US macro-economic indicators, which are likely to influence the Fed's decision
Some Fed watchers predict officials will cut their benchmark by half a percentage point, but the signal is that they will eschew a bigger move in favor of a quarter point reduction
The metal has gained nearly 2% so far this week, on track for a second consecutive weekly gain
While Chinese officials continue to downplay the likelihood of more aggressive easing, the economy has been slow to respond to a host of earlier stimulus measures
Yields on two-year US Treasuries previously jumped to 1.87% from 1.76%
Donald Trump repeats his criticism of Jerome Powell's actions as Federal Reserve chairman.
Like it or not, its next move will be political
The Fed officials have lowered inflation projection from 1.8 per cent to 1.5 per cent for the year and they also expect to miss their 2 per cent target next year as well.
Trump said on Twitter, 'the Fed should cut its key overnight lending rate by a full per centage point'
In the comic book world, though, the Fed is no Wonder Woman
Central banks in Indonesia and the Philippines -- among the most aggressive rate hikers last year -- kept policy on hold on Thursday
Three months ago, the Fed was still signaling several rate hikes this year
On the balance sheet, Jerome Powell said the normalisation process will be completed "sooner and with a larger balance sheet" than previous estimates
US President Donald Trump blasted the Fed on Monday as the US economy's 'only problem'.