[movermike] movermike: Fed Creates Money To Meet Cash Demands

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Posted by movermike:
Fed Creates Money To Meet Cash Demands
http://www.movermike.com/posts/1186758607.shtml


   [1]The Fed this morning bought $19 Billion of mortgage backed
   securities to help meet the demand for cash. The vigilant Investor
   nails it when he writes

     The is flatly a bailout of reckless lending practices, Wall Street
     greed, and large hedge funds who have made a ton of money â and now
     donât want to pay the piper for the inordinate risk they have
     taken.

     Folks, thatâs $19 Billion created with the flick of a button â
     injected into the financial system (and into the money supply).
     More importantly â this bailout has diluted your hard earned
     Dollars by the same $19 Billion.

   The DJIA finished down almost 400 points yesterday and is currently
   down 195 points.

   [2]Federal Reserve [3]Credit Crunche [4]Mover Mike

References

   1. http://www.bloomberg.com/apps/news?pid=20601087&sid=aWvmnW7kB4rM&refer=home
   2. http://technorati.com/tag/Federal+Reserve
   3. http://technorati.com/tag/Credit+Crunch
   4. http://technorati.com/tag/Mover+Mike