Fed boosts TAF facility along with ECB, Swiss bank

The Federal Reserve along with the European Central Bank and the Swiss National Bank announced a fresh expansion of their liquidity measures. The Federal Reserve announced an increase in the amounts auctioned to eligible depository institutions under its biweekly Term Auction Facility from $50 billion to $75 billion, beginning with the auction on May 5. This increase will bring the amounts outstanding under the TAF to $150 billion. The Federal Open Market Committee also has authorized further increases in its existing temporary reciprocal currency arrangements with the European Central Bank and the Swiss National Bank. These arrangements will now provide dollars in amounts of up to $50 billion and $12 billion to the ECB and the SNB, respectively, representing increases of $20 billion and $6 billion

 

dollar liked the news, few months back it would plunged a bunch

 

this is getting more and more insane.

 

Any news is bullish for the dollar. The real carnage hasn't even started yet. Wait until we see massive defaults on all this new corporate debt. Shitigroup is bankrupt, they don't even know how much capital they need to stay afloat. One day it's 3bln next day it's 10 bln, three weeks later it's another couple bln.

This rapid debasement of our currency is going to pan out to be the biggest re-distribution of wealth this world will ever see.

 

When your a drowning man you will do anything to survive, can't blame them but it sure is a desperate act to stay afloat.

So the game continues

 

I agree. It is insane! On top of that they spray the false data to make it look that the crunch is over! Fools rush in, pump the dollar and the equities markets! Can't wait for the first class sell off! It is going to be spectacular!

 

I'm not sure about the dollar being devalued here - but the balance sheets of these companies, definitely. Remember reigning in credit is contractionary. Declining velocity on money even with same money supply = smaller GDP + corporate defaults + deflationary prospect.

http://scriabinop23.blogspot.com/2008/04/end-game-0-chance-this-is-bottom.html

 

I take it your not long.

 

Clearly; operation free-titbait didn't work; pissing on the hands who is feeding;

Bring on all these western style of hypocrisy has back fired. Just look at the yield of 10 years treasury and mortgage rate; wondering Bank has to milk their pay from these fat yield difference; at same time the mortgage market is shrinking fast.

For the following weeks; either stock markets crash big time; or oil and gold sky rocketing; there are not sufficient valuations to handle the next round of new debts.

 

You do realize that 95% of ET has no idea what you just said . . . because all they see is INFLATION!