Fed commits to more Treasury purchases

[The Straight Story]

Fed commits to more Treasury purchases

WASHINGTON — The Federal Reserve launched a controversial new policy on Wednesday, committing to buy $600 billion more in government bonds by the middle of next year in an attempt to breathe new life into a struggling U.S. economy.

The decision, which takes the Fed into largely uncharted waters, is aimed at further lowering borrowing costs for consumers and businesses still suffering in the aftermath of the worst recession since the Great Depression.

The U.S. central bank said it would buy about $75 billion in longer-term Treasury bonds per month. It said it would regularly review the pace and size of the program and adjust it as needed depending on the path of the recovery.

http://www.msnbc.msn.com/id/39990043/from/toolbar

[Democrats_win]

1. Bernanke: Eat sh*t and die and take the FED with you.

Why didn't he do anything 6 months ago? The Foreclosure mills remain open. Lethal injection for all banksters.

[The Northerner]

3. +100

[Kurt_and_Hunter]

2. Excellent news

The move is even a little more aggressive than was expected.

There is only so much this approach can do but it is better than nothing.

[Gin]

4. what does this mean? who will buy the treasuries?

[NoNothing]

5. The Fed is buying the Treasuries

And Treasury gets the money.

Where does the Fed get the money to buy the Treasuries? It simply creates it out of thin air.

[Gin]

6. Thanks.....I kind of thought it was something like that..

we make it...we sell it...we buy it... all full circle.