New data shows foreign banks biggest recipients of Fed money

[cory777]

Source: Raw Story

The Federal Reserved released documents Wednesday identifying the recipients of $3.3 trillion in emergency aid provided at the height of the financial crisis.

"Two European megabanks -- Deutsche Bank and Credit Suisse -- were the largest beneficiaries of the Fed's purchase of mortgage-backed securities," The Huffington Post's Shahien Nasiripour reported.

More than $290 billion worth of mortgage securities were sold to Deutsche Bank, a German lender. Credit Suisse, a Swiss bank, got more than $287 billion in mortgage bonds.

"The mortgage purchase program has come under withering criticism by economists and financial experts who believe the Fed's initiative has unnecessarily inflated the housing market, and prevented the cleansing that pretty much all experts believe is necessary for a full economic rebound," Nasiripour wrote.

Read more: http://www.rawstory.com/rs/2010/12/data-show-foreign-banks-biggest-recipients-fed-money/

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Breaking Activist News http://activistnews.blogspot.com/

[xchrom]

1. Oh my god! This is better than celebrity gossip. Nt

[leveymg]

2. Old news. Payolla so they wouldn't pull all their funds out at once. Extortion.

Some of us noticed this at the time and commented on it. See, http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=389x5369690 "Kill a Flock of Vultures With One Stone: Stop Feeding the Global Banks" Edited on Wed Apr-01-09 12:25 PM by leveymg

[Poll_Blind]

3. Holy shit- we're fucking floating corrupt foreign banks?!

What a fucking nightmare. Being a citizen of this country is like being a dying animal already being consumed alive on the veldt.

PB

[enlightenment]

5. Now there's a bit of mental imagery that is going to keep me

awake tonight . . .

gah.

But you're right.

[alp227]

4. So wait...the Chamber of Commerce does NOT accept money from foreign corps

and donate to Repig candidates? Or maybe they ARE hiding something.

[sarcasmo]

6. Yet people on this web site think it's wrong to investigate the Federal Reserve.

[laconicsax]

7. The Fed loaned out over $9 trillion.

http://www.csmonitor.com/USA/2010/1201/Federal-Reserve-s-astounding-report-We-loaned-banks-trillions

The numbers are staggering, encompassing more than a dozen emergency programs set up starting in 2007 or 2008. In one program alone the Fed doled out nearly $9 trillion in funds to borrowers such as Morgan Stanley and Merrill Lynch, largely at interest rates below 1 percent. (This program involved overnight loans, so the amount of Fed credit outstanding at any single point in time was much smaller.)

(emphasis mine)

One program handed out $9 trillion...one program out of over a dozen.