US banks borrow $50bn via new Fed facility

[Zeebadee]

FT.com / In depth - US banks borrow $50bn via new Fed facility

US banks have been quietly borrowing massive amounts of money from the Federal Reserve in recent weeks by using a new measure the Fed introduced two months ago to help ease the credit crunch.

Simply another gimmick the government is using to delay the collapse of a system based on the increase of spending money we don't have. How large can the deficits get, and the national debt rise to before it becomes apparent to all that default is inevitable??

"The TAF . . . allows the banks to borrow money against all sort of dodgy collateral,” says Christopher Wood, analyst at CLSA. “The banks are increasingly giving the Fed the garbage collateral nobody else wants to take . . . [this] suggests a perilous condition for America’s banking system.”

[Milton Bradley]

What, you expected them to come clean, or to abandon this horse before it collapses?

[thx1138]

US banks have been quietly borrowing massive amounts of money from the Federal Reserve in recent weeks by using a new measure the Fed introduced two months ago to help ease the credit crunch.

Why does the U.S. government have to borrow money from it's own central bank? If the Federal Reserve is part of the U.S. government then it should just print money at little to no cost.

[Suburbanite]

it isnt part of the government it is a privately owned company... and we pay income taxes to refund the debt we pay for every dollar

fucd huh?

[Suburbanite]

if america wasnt run by those bankers though, in theoryl, it could absolve its debt and reinstate a debt free system leaving the richies on their ass

[Tycoon]

if america wasnt run by those bankers though, in theoryl, it could absolve its debt and reinstate a debt free system leaving the richies on their ass

I was unaware that the "richies" shared one collective ass.

I'm sorry, but I had to.

[thx1138]

Jordan Maxwell about America

something for you to think about...