With the credit crisis battering banks around the globe, European regulators stepped in early Wednesday. The Bank of England announced a plan to inject $43.7 billion into the banking system, and other European banks made billions of dollars of overnight funds available to banks.
Investors weren't impressed, and stocks fell worldwide. Then, in an attempt to boost economies around the globe, at 7:00 a.m. ET, the central banks of the United States, Canada, England, the European Union, Sweden and Switzerland announced a coordinated plan to cut interest rates.
The Fed cut its key funds rate to 1.5% from 2%, and most other banks slashed rates by a similar amount.
The plan was at first met with cheers, but then skepticism again took hold, and stocks fell. Credit market measures soared to all-time highs, signaling no change in the tight lending market.NEXT: Thursday, October 9 - The search for a bottom