Hollywood (eCanadaNow) - U.S. stock had their largest gains in five years on Tuesday following the Fed cutting rates by .75 points.

The Federal Reserve cut its benchmark interest rate by 0.75 points to 2.25 % in the latest of many attempt to try and save the U.S. economy, and give it a much needed boost.

The U.S. central bank has lowered the federal funds rate by a total of 2 percentage points since the beginning of the year now.

The decision to lower the rate came in at a vote of 8-2 following emergency action on Sunday.

The Fed also cut its discount lending rate to banks, approve teh sale of ailing investment bank Beart Stearns, as well as launching a new lending program for investment banks.

Financial stocks had the largest gains.  The U.S. currency also saw a gain against the euro to 63.98 euro cents from 63.58 euro cents on Monday.

The dollar also gained value against the Japanese currency to 99.79 yen from 97.47 yen on Monday.