Wall St dips after Fed rate cut; Dow down 12 pts

Wall Street closed in the red with the Fed's decision to cut rates to 2%. Fed's hint that it may pause took the steam out of the stocks. The equity markets close the month with the biggest gains for the year. According to the latest report on GDP, US economy is technically not in a recession. Lehman down 5%, Citigroup down 4%.

FOMC has cut fed fund rates by 25 bps at 2% and discount rate by 25 bps at 2.25%. FOMC has cut fed fund rates by 3.25% since Sep2007. 1Q GDP grows at 0.6% vs expectation of 0.5%.

The Dow Jones industrial average slipped 11.81 points, or 0.09%, to 12,820.13. The Standard & Poor's 500 index declined 5.35 points, or 0.38%, to 1,385.59, and the Nasdaq composite index dropped 13.30 points, or 0.55%, to 2,412.80.

A look at how the Indian ADRs performed: