Fed Plan to Lend Up to $200 Billion - GoFuckYourself.com

DjiXas · 03-11-2008, 06:35 AM

U.S. Stock Futures Rally on Fed Plan to Lend Up to $200 Billion

http://www.bloomberg.com/apps/news?p...C3c&refer=home

who · 03-11-2008, 06:36 AM

More lending? Is that wise?

Iron Fist · 03-11-2008, 06:39 AM

Keep lending more money! That's the ticket!

Jens Van Assterdam · 03-11-2008, 06:45 AM

Quote:

Originally Posted by sharphead

Keep lending more money! That's the ticket!

yeah.. lol

notoldschool · 03-11-2008, 06:50 AM

Were saved!

DjiXas · 03-11-2008, 06:55 AM

Quote:

Originally Posted by who

More lending? Is that wise?

Hope so

Vendot · 03-11-2008, 08:17 AM

Yeah they lent $200 billion without checking whether the people who they were lending to could actually pay it back.

Which is ironic really cos that kinda shit is what cause this whole sub prime shit in the first place. The market is fucked.

GAMEFINEST · 03-11-2008, 08:52 AM

Credit card debt is highest this year ...

directfiesta · 03-11-2008, 08:55 AM

If they back it up with tax cuts, it is a win-win solution ....

advokat · 03-11-2008, 10:17 AM

LOL Fed keep on lending up

Vendot · 03-11-2008, 11:17 AM

The market is so fucked that when it does go, its gonna crash like an irritating australian cousin hitting your pad.

It'll take you a year or two to get him to fuck off back to Oz land

GregE · 03-11-2008, 12:06 PM

Quote:

Originally Posted by sharphead

Keep lending more money! That's the ticket!

Until someone comes up with a better idea they gotta try whatever they think might work.....whatever the odds.

Keep in mind that we're not talking about trying to avoid a run of the mill recession but something far worse.

The last genuine worldwide depression lasted more than 10 years and it took a world war to end it.

Trust me, we don't want to go there again

Sami · 03-11-2008, 01:03 PM

Unless they take these measures....

Almost 50% of the wallstreet major brokers would go belly up because of the credit crises and lack of liquidity.

Marril Lynch, Jp morgan, etc...

If that happens.. that would make 1929 crash - and the 30s seem like a field trip!

So they are doing everything they can to put liquidity back into the markets !

Bernanke and his crew have impressed me ! they did jump aboard this problem a little late though!

Should have started with the agressive rate cuts early in Dec.

DjiXas · 03-11-2008, 02:36 PM

http://www.bloomberg.com/apps/news?p...SZI&refer=home

U.S. stocks rallied the most in five years after the Federal Reserve said it will pump $200 billion into the financial system to shore up banks battered by mortgage-related losses.

Fed's Plan
The Fed said it plans to lend Treasuries in exchange for mortgage-backed securities and other debt that has plunged in value as homeowners defaulted on their payments.
.......
By lending Treasuries in exchange for mortgage-backed securities, the Fed will allow banks to switch debt that is less liquid for bonds that are easily tradable.

Fed officials told reporters on condition of anonymity that the program may be increased as needed. The move may also allow the central bank to cut interest rates less drastically than previously expected, leading to lower inflation.

Rate Bets

Traders reduced bets on a 0.75 percentage point cut in the Fed's benchmark rate by March 18, according to Fed funds futures. They priced in 64 percent odds of a three-quarter point cut, down from 86 percent odds yesterday. The rest of the bets are for a half-point cut in the rate, which is currently 3 percent.

Previous easing by the Fed failed to boost stocks. Since the Fed first addressed credit losses by cutting its discount rate by half a percentage point on Aug. 17, the S&P 500 has fallen 8.7 percent.

etc, etc... Sounds promising for me at this moment, see what happens tomorrow

03-11-2008, 06:35 AM	#1
DjiXas So Fucking Banned Join Date: Sep 2007 Posts: 1,108	Fed Plan to Lend Up to $200 Billion U.S. Stock Futures Rally on Fed Plan to Lend Up to $200 Billion http://www.bloomberg.com/apps/news?p...C3c&refer=home

03-11-2008, 06:39 AM	#3
Iron Fist Too lazy to set a custom title Join Date: Dec 2006 Posts: 23,400	Keep lending more money! That's the ticket! __________________ i like waffles

03-11-2008, 06:50 AM	#5
notoldschool Confirmed User Join Date: Aug 2007 Posts: 5,687	Were saved! __________________ No doubt one may quote history to support any cause, as the devil quotes scripture. -- Learned Hand http://www.bjpenn.com

03-11-2008, 08:17 AM	#7
Vendot Confirmed User Industry Role: Join Date: May 2002 Location: Malaysia Posts: 3,376	Yeah they lent $200 billion without checking whether the people who they were lending to could actually pay it back. Which is ironic really cos that kinda shit is what cause this whole sub prime shit in the first place. The market is fucked. __________________ "In a Time of Universal Deceit, Telling the Truth is a Revolutionary Act." - George Orwell

03-11-2008, 08:52 AM	#8
GAMEFINEST Make STACK$ Industry Role: Join Date: Nov 2006 Location: sexy time Posts: 14,437	Credit card debt is highest this year ... __________________ Compound interest.

03-11-2008, 06:36 AM	#2
who So Fucking Banned Join Date: Aug 2003 Location: ICQ #23642053 Posts: 19,593	More lending? Is that wise?

03-11-2008, 08:55 AM	#9
directfiesta Too lazy to set a custom title Industry Role: Join Date: Oct 2002 Location: Montreal, Quebec Posts: 29,680	If they back it up with tax cuts, it is a win-win solution .... __________________ I know that Asspimple is stoopid ... As he says, it is a FACT ! But I can't figure out how he can breathe or type , at the same time ....

03-11-2008, 10:17 AM	#10
advokat So Fucking Banned Join Date: Mar 2007 Posts: 92	LOL Fed keep on lending up

03-11-2008, 11:17 AM	#11
Vendot Confirmed User Industry Role: Join Date: May 2002 Location: Malaysia Posts: 3,376	The market is so fucked that when it does go, its gonna crash like an irritating australian cousin hitting your pad. It'll take you a year or two to get him to fuck off back to Oz land __________________ "In a Time of Universal Deceit, Telling the Truth is a Revolutionary Act." - George Orwell

03-11-2008, 01:03 PM	#13
Sami Confirmed User Join Date: Mar 2004 Posts: 2,047	Unless they take these measures.... Almost 50% of the wallstreet major brokers would go belly up because of the credit crises and lack of liquidity. Marril Lynch, Jp morgan, etc... If that happens.. that would make 1929 crash - and the 30s seem like a field trip! So they are doing everything they can to put liquidity back into the markets ! Bernanke and his crew have impressed me ! they did jump aboard this problem a little late though! Should have started with the agressive rate cuts early in Dec. __________________ ServerProvider.com ICQ#: 311-848-143

03-11-2008, 02:36 PM	#14
DjiXas So Fucking Banned Join Date: Sep 2007 Posts: 1,108	http://www.bloomberg.com/apps/news?p...SZI&refer=home U.S. stocks rallied the most in five years after the Federal Reserve said it will pump $200 billion into the financial system to shore up banks battered by mortgage-related losses. Fed's Plan The Fed said it plans to lend Treasuries in exchange for mortgage-backed securities and other debt that has plunged in value as homeowners defaulted on their payments. ....... By lending Treasuries in exchange for mortgage-backed securities, the Fed will allow banks to switch debt that is less liquid for bonds that are easily tradable. Fed officials told reporters on condition of anonymity that the program may be increased as needed. The move may also allow the central bank to cut interest rates less drastically than previously expected, leading to lower inflation. Rate Bets Traders reduced bets on a 0.75 percentage point cut in the Fed's benchmark rate by March 18, according to Fed funds futures. They priced in 64 percent odds of a three-quarter point cut, down from 86 percent odds yesterday. The rest of the bets are for a half-point cut in the rate, which is currently 3 percent. Previous easing by the Fed failed to boost stocks. Since the Fed first addressed credit losses by cutting its discount rate by half a percentage point on Aug. 17, the S&P 500 has fallen 8.7 percent. etc, etc... Sounds promising for me at this moment, see what happens tomorrow Last edited by DjiXas; 03-11-2008 at 02:38 PM..