| ALJAZEERA: The US Federal Reserve has announced that it will launch a new $400bn programme to help the beleaguered US economy by attempting to exert downward pressure on long-term interest rates and to aid the battered housing sector. |
In a statement released on Wednesday, the central bank said that its programme would tilt its $2.85 trillion balance sheet more heavily towards long-term securities by selling short-term notes and using those funds to buy longer-dated treasuries.
It will also be reinvesting proceeds from maturing mortgage and agency bonds back into the mortgage market… (more)
