Fed in bold move to thaw credit markets says it will buy massive amounts of short-term debt

[Coronita]

Bzzzzzzzzzzzzzz…Look, it’s a bird, it’s a plane…No wait, it’s Helicopter Ben and Paulson…..

Thank you Ben and Paulson….Today’s rally is for suckers. (Yeah, I know I am one…) 🙂

I have to give Ben and Paulson an A- on creative financing attempts. (F+ on effectiveness though).

Pretty soon, Ben and Paulson are going to start issuing credit cards if you file a 1040 to help all
those consumers that are “having trouble securing credit”.

http://biz.yahoo.com/ap/081007/financial_meltdown.html

Fed in bold move to thaw credit markets says it will buy massive amounts of short-term debt

WASHINGTON (AP) — The Federal Reserve announced Tuesday a radical plan to buy massive amounts of short-term debts in a dramatic effort to break through a credit clog that is imperiling the economy.

The Federal Reserve will buy “commercial paper,” a short-term financing mechanism that many companies rely on to finance their day-to-day operations, such as purchasing supplies or making payrolls.

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The $99.4 billion daily market for this crucial financing, which relies on investors rather than banks, has virtually dried up. That has made it increasingly difficult and expensive for companies to raise money to fund their operations. Commercial paper is a way of borrowing money for short periods, typically ranging from overnight to less than a week.

The unstable situation has left many companies vulnerable. The notion under the plan is for the government to provide a “backstop” that would give companies a new place to get cash, the Fed said. The action makes the Fed a source of credit for nonfinancial businesses in addition to commercial banks and investment firms.

The Fed said it is creating a new entity to buy three-month unsecured and asset-backed commercial paper directly from eligible companies.

[Coronita]

Bzzzzzzzzzzzzzz…Look, it’s a bird, it’s a plane…No wait, it’s Helicopter Ben and Paulson…..

Thank you Ben and Paulson….Today’s rally is for suckers. (Yeah, I know I am one…) 🙂

I have to give Ben and Paulson an A- on creative financing attempts. (F+ on effectiveness though).

Pretty soon, Ben and Paulson are going to start issuing credit cards if you file a 1040 to help all
those consumers that are “having trouble securing credit”.

http://biz.yahoo.com/ap/081007/financial_meltdown.html

Fed in bold move to thaw credit markets says it will buy massive amounts of short-term debt

WASHINGTON (AP) — The Federal Reserve announced Tuesday a radical plan to buy massive amounts of short-term debts in a dramatic effort to break through a credit clog that is imperiling the economy.

The Federal Reserve will buy “commercial paper,” a short-term financing mechanism that many companies rely on to finance their day-to-day operations, such as purchasing supplies or making payrolls.

ADVERTISEMENT
The $99.4 billion daily market for this crucial financing, which relies on investors rather than banks, has virtually dried up. That has made it increasingly difficult and expensive for companies to raise money to fund their operations. Commercial paper is a way of borrowing money for short periods, typically ranging from overnight to less than a week.

The unstable situation has left many companies vulnerable. The notion under the plan is for the government to provide a “backstop” that would give companies a new place to get cash, the Fed said. The action makes the Fed a source of credit for nonfinancial businesses in addition to commercial banks and investment firms.

The Fed said it is creating a new entity to buy three-month unsecured and asset-backed commercial paper directly from eligible companies.

[Coronita]

Bzzzzzzzzzzzzzz…Look, it’s a bird, it’s a plane…No wait, it’s Helicopter Ben and Paulson…..

Thank you Ben and Paulson….Today’s rally is for suckers. (Yeah, I know I am one…) 🙂

I have to give Ben and Paulson an A- on creative financing attempts. (F+ on effectiveness though).

Pretty soon, Ben and Paulson are going to start issuing credit cards if you file a 1040 to help all
those consumers that are “having trouble securing credit”.

http://biz.yahoo.com/ap/081007/financial_meltdown.html

Fed in bold move to thaw credit markets says it will buy massive amounts of short-term debt

WASHINGTON (AP) — The Federal Reserve announced Tuesday a radical plan to buy massive amounts of short-term debts in a dramatic effort to break through a credit clog that is imperiling the economy.

The Federal Reserve will buy “commercial paper,” a short-term financing mechanism that many companies rely on to finance their day-to-day operations, such as purchasing supplies or making payrolls.

ADVERTISEMENT
The $99.4 billion daily market for this crucial financing, which relies on investors rather than banks, has virtually dried up. That has made it increasingly difficult and expensive for companies to raise money to fund their operations. Commercial paper is a way of borrowing money for short periods, typically ranging from overnight to less than a week.

The unstable situation has left many companies vulnerable. The notion under the plan is for the government to provide a “backstop” that would give companies a new place to get cash, the Fed said. The action makes the Fed a source of credit for nonfinancial businesses in addition to commercial banks and investment firms.

The Fed said it is creating a new entity to buy three-month unsecured and asset-backed commercial paper directly from eligible companies.

[tucker…]

dow is up one second down the next?

fed meeting should put an end to this crazyness

yeh right.

[tucker…]

dow is up one second down the next?

fed meeting should put an end to this crazyness

yeh right.

[tucker…]

dow is up one second down the next?

fed meeting should put an end to this crazyness

yeh right.

[tucker…]

dow is up one second down the next?

fed meeting should put an end to this crazyness

yeh right.

[tucker…]

dow is up one second down the next?

fed meeting should put an end to this crazyness

yeh right.

[alarmclock]

Ben Bernanke has announced today that the Federal Reserve will also buy physical assets at list price in order to help struggling businesses with overflowing warehouses of unsold inventory. Mr Bernanke was quoted as saying, “Push it, pull it, drag it in to Ben’s Fed-O-Rama, I’ll give you top dollar for your trade.”

[alarmclock]

Ben Bernanke has announced today that the Federal Reserve will also buy physical assets at list price in order to help struggling businesses with overflowing warehouses of unsold inventory. Mr Bernanke was quoted as saying, “Push it, pull it, drag it in to Ben’s Fed-O-Rama, I’ll give you top dollar for your trade.”

[alarmclock]

Ben Bernanke has announced today that the Federal Reserve will also buy physical assets at list price in order to help struggling businesses with overflowing warehouses of unsold inventory. Mr Bernanke was quoted as saying, “Push it, pull it, drag it in to Ben’s Fed-O-Rama, I’ll give you top dollar for your trade.”

[alarmclock]

Ben Bernanke has announced today that the Federal Reserve will also buy physical assets at list price in order to help struggling businesses with overflowing warehouses of unsold inventory. Mr Bernanke was quoted as saying, “Push it, pull it, drag it in to Ben’s Fed-O-Rama, I’ll give you top dollar for your trade.”

[alarmclock]

Ben Bernanke has announced today that the Federal Reserve will also buy physical assets at list price in order to help struggling businesses with overflowing warehouses of unsold inventory. Mr Bernanke was quoted as saying, “Push it, pull it, drag it in to Ben’s Fed-O-Rama, I’ll give you top dollar for your trade.”

[kewp]

Pretty soon, Ben and Paulson are going to start issuing credit cards if you file a 1040 to help all
those consumers that are “having trouble securing credit”.

http://biz.yahoo.com/ap/081007/financial…

I am going to go out on a limb and suggest that before this is all over, the Fed seizes control of one of the big national banks and begins lending directly to consumers and businesses.

Personally, I’m all for it!

[kewp]

Pretty soon, Ben and Paulson are going to start issuing credit cards if you file a 1040 to help all
those consumers that are “having trouble securing credit”.

http://biz.yahoo.com/ap/081007/financial…

I am going to go out on a limb and suggest that before this is all over, the Fed seizes control of one of the big national banks and begins lending directly to consumers and businesses.

Personally, I’m all for it!

[Author]

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