Certain securities (mortgages) can be brought the FED in exchange for treasuries! Fasten your seatbelts!!! SIFs will open up very very hard, and ES may be up 60 handles today. WATCH THE REACTION OF THE $ nitro
News was leaked.. As always. No wonder the futures were up ahead of the news. Wall Street is a total scam.
To promote liquidity and "foster the functioning of financial markets more generally," the Federal Reserve said Tuesday it's expanding its securities lending program. The Fed will lend up to $200 billion of Treasury securities to primary dealers secured for a term of 28 days, rather than overnight, as in the existing program. Securities will be made available through an auction process. Auctions will be held on a weekly basis, beginning on March 27. The Federal Open Market Committee has also authorized increases in its temporary reciprocal currency arrangements with the European Central Bank and the Swiss National Bank
1. Fed "loans" Treasuries against paper. 2. When the "term" is up and time for the "loan" to be repaid, the Fed says, "fuggetaboutit". And the bad paper has been monetized right under out noses without sheeple US investors realizing how they've been hoodwinked. Same old, same old. It's sort of like how our National Debt works... Other countries simply print money. But the world recognizes it and hammers their currency. The US... 1. Authorizes a national debt ceiling 2. Floats bonds for the deficit 3. Never intended to repay the bonds with equivalent buying power, rather just print money to cover the interest and redemption of the bond at maturity 4. Congress raises the debt ceiling in perpetuity. Same thing as "printing money", just less obvious so they get away with it better.
Fed will be taking beanie babies as collateral for cash soon. The hyperinflation of America continues....