Monetarists to the rescue--update

According to BBC, the Fed rate cut has perked up markets around the globe. Traders are smiling for the first time in weeks.

"In Europe, London's FTSE 100 was 2.3% ahead by 0940BST while France and Germany's key markets were up about 2%.

Japan's Nikkei index closed up 3.7% while Hong Kong's Hang Seng index climbed 4.2%.

The Fed cut its benchmark federal funds rate from 5.25% to 4.75%, sending US shares up sharply."