This global move is an encouraging sign that governments around the world appreciate the seriousness of this problem. There is no magic wand or miracle cure to the problems that we have but sitting around and waiting for more failures without action is definitely wrong. Nothing is going to stop the market declines but this may be a starting point for getting money flowing again.

Central banks around the world Wednesday cut interest rates amid mounting losses in financial markets, as the credit crunch continued to seize up lending.

The Federal Reserve lowered its federal funds rate a half a point to 1.50 percent. It also lowered its discount rate as well. The Fed, whose decision was unanimous, last cut rates a quarter point in April.

Central banks in the UK, European Union, Switzerland and elsewhere participated in the move.

The action comes after days of growing pressure on central banks to act together to stem mounting panic in the financial markets.