Special Coverage
3
0
The Fed creates commercial paper−buying facility
Tue, Oct 7 2008, 14:15 GMT
by Marina Schiaffino
The Fed has just announced its plan to create a special fund to buy up commercial paper. Once the Treasury Department approves it, it will apply this new regulation in order to keep the credit crunch from cutting off a key source of funding for corporations.
Another emergency move, in order to calm distressed financial markets by preventing "substantial disruptions" to the financial markets and to the economy.
- Read the official statement at the Fed
In-Depth Analysis
- Mid-Day Forex Technical Report -Fed to Buy Commercial Paper by Action Forex
- Research US - CP market and money markets gridlocked by Danske Bank
Related News
- FXNEWS-A return to 1980s plain vanilla lending (Thomson Financial News)
- US RATE FUTURES-Slide on Fed commercial paper move (Thomson Financial News)
- FXNEWS-Fed's CP measures will boost confidence (Thomson Financial News)
- FOREX-Euro rises 3 pct vs yen after Fed creates facility (Thomson Financial News)
- FINEWS-Fed pulls new lever to address credit crisis (Thomson Financial News)
- U.S. crude futures up $5 on Iran, Fed action (Thomson Financial News)
- FXNEWS-Fed action to help risk appetite (Thomson Financial News)
- Euro And Dollar Gain; Fed CP Announcement Encourages Risk (Dow Jones)
- US stock futures jump on Fed commercial paper facility (Thomson Financial News)
- FXNEWS-EU fin mins pledge to protect banks, deposits (Thomson Financial News)
- FOREX-Dollar jumps vs yen after Fed creates facility (Thomson Financial News)
- FXNEWS-Comment on Fed move to backstop commercial paper (Thomson Financial News)
- FXNEWS - Fed creates commercial paper buying facility (Thomson Financial News)
- UPDATE 1-US Fed creates commercial paper-buying facility (Thomson Financial News)
- US Fed creates commercial paper-buying facility (Thomson Financial News)
- Fed to buy commercial paper in effort to boost liquidity (Thomson Financial News)
- US STOCKS-Futures drop after Fed auction statement (Thomson Financial News)
Analyst comments
- Chris Turner, head of FX strategy at ING
"The issue here is one of institutions struggling to access dollar funding in the overnight uncollateralized market and instead attempting to raise dollar funding through the FX swap or FX cross currency basis swap market." - Dow Jones - Cary Leahey, economist at Decision Economics
"Once again the Fed continues to pull all the levers it can think of and it's thought of a new one in the form of effectively accepting unsecured paper - commercial paper - from a wide variety of institutions. Up until today, the Fed did not make loans without some form of collateral. That has now gone out the window." - Thomson Financial News
Published on Tue, Oct 7 2008, 15:15 GMT
Archive
- The Fed creates commercial paper−buying facility
Published On Tue, Oct 7 2008, 14:15 GMT - Europe reacts to the global crisis
Published On Tue, Oct 7 2008, 09:11 GMT - Will there be a European Bailout plan?
Published On Mon, Oct 6 2008, 06:53 GMT - The US House approves the Financial Bailout plan
Published On Fri, Oct 3 2008, 17:35 GMT - The Bailout Plan: 2 rounds done, one to go
Published On Fri, Oct 3 2008, 10:46 GMT
FXstreet.com
| Portaferrissa 7, 1r 2a, Barcelona 08002, Catalonia - Spain
http://www.fxstreet.com | forex@fxstreet.com
Related reports
Daily Forex Technical Report by ActionForex.com
Wed, Dec 3 2008, 15:28 GMT
Currency Currents by Black Swan Capital
Wed, Dec 3 2008, 14:33 GMT
Currency Majors Technical Analysis by Mataf.net
Wed, Dec 3 2008, 14:02 GMT
Daily Technical Strategist - EURUSD: Downside Weakness Still Holds by FXTechstrategy
Wed, Dec 3 2008, 13:44 GMT
Daily Market Report - The US dollar appreciated against most currencies overnight by Wachovia
Wed, Dec 3 2008, 13:22 GMT
Related content
Obama says automakers' bailout plans 'more serious'
Thomson Financial News | Wed, Dec 3 2008, 17:13 GMT
White House: Too early for response to autos plans
Thomson Financial News | Wed, Dec 3 2008, 16:36 GMT
WRAPUP 2-US private jobs, services slump show recession toll
Thomson Financial News | Wed, Dec 3 2008, 16:10 GMT
US RATE FUTURES-Weak ISM points to big Fed rate cut
Thomson Financial News | Wed, Dec 3 2008, 16:09 GMT
EUR/USD: The Euro remains on weak shape
FXstreet.com | Wed, Dec 3 2008, 16:01 GMT
Interested in forex trading? forex brokerage firms!
FXstreet.com will give you a 3 months membership as soon as minimum rebates have been generated (€150 for private trader/ €300 for corporate trader)
[Read Premium full description]
Trading foreign exchange on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any doubts.
Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. FXstreet.com has not verified the accuracy or basis-in-fact of any claim or statement made by any independent author: errors and Omissions may occur.
Any opinions, news, research, analyses, prices or other information contained on this website, by FXstreet.com, its employees, partners or contributors, is provided as general market commentary and does not constitute investment advice. FXstreet.com will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from use of or reliance on such information.
©2008 "FXstreet.com. The Forex Market" All Rights Reserved.