Rate decline goes on in prime interest
New York — Morgan Guaranty, the nation's fifth-largest bank, cut its prime lending rate 1 1/2 percentage points to 20 percent. Morgan's move represented a further decline in the key interest rate. Last Friday, major banks across the country lowered their prime rate -- charged on loans to their most creditworthy corporate customers -- to 20 1/2 percent from the record 21 1/2 percent level. Morgan's action followed the release of the latest money-supply figures by the Federal Reserve , which showed a sharp drop in the key money measures.