The US Federal Reserve has cut rates by half percent, to _______ percent, its lowest in seven years.

As expected, the U.S. Federal Reserve has cut interest rates for the fifth time this year to try to avoid a recession in the world’s largest economy. The Fed cut rates by a half percent, to four percent, its lowest level in seven years. In a statement, the Central Bank said further cuts are likely as the economy remains weak. Many economists think monetary authorities will continue to cut rates in the months ahead to revive economic growth, which has slowed considerably. Figures released Monday showed industrial production fell in April for the seventh consecutive month-the longest stretch signs the economy is starting to re-bound since the recession year of 1982. Other reports show the economy lost more jobs in April than at any time in the past decade. Still, other market-watchers say the Central Bank may hold off on further rate cuts amid signs the economy is starting to rebound. Reports show consumer confidence and retail sales are rising. Consumer spending makes up two-thirds of U. S. economic growth. The stock market is expected to rebound further in the days ahead if the Federal Open Market Committee keeps cutting interest rates, as companies and consumers benefit from lower borrowing costs.