V – Les années Obama : la politique de la FED entre QE1 et QE3 | Economie et crise aux USA. Nouveau site ouvert : Nous continuons notre examen des comptes publics et de la politique monétaire par un bilan d’ensemble de l’action de la FED. Depuis 2008, La FED a en effet eu un rôle de plus en plus marqué dans toute une série d’opérations souvent analysées sur ce blog. Reconstituer l’action de la FED, c’est se donner le moyen de mieux comprendre le rôle qu’elle a joué et joue encore dans la gestion de la crise financière, le soutien à l’immobilier et à la dette du Trésor dont elle peut influencer les émissions autant que les taux d’intérêt.
La décision du 13 septembre 2012 de la FED de reprendre des achats de RMBS ne peut être compris que dans le cadre d l’historique de son action depuis le début de la crise. Ce sont les amortissements de la dette des agences et des RMBS détenue par la FED, augmentés de 40 Md de $ par mois qui devraient financer cette opération.
Pour procéder à cette analyse d’ensemble, nous avons décidé d’adopter le plan suivant. The Fed As A Reverse Robin Hood | zero hedge. In today's edition of Bloomberg Brief, the firm's economist Richard Yamarone looks at one of the more unpleasant consequences of Federal monetary policy: the increasing schism in wealth distribution between the wealthiest percentile and everyone else. While the Fed's third mandate is by now all too clear: push the Russell 2000 to the highest possible level, one can now suggest that the 4th mandate is one that would make Robin Hood spin in his grave: "To the extent that Federal Reserve policy is driving equity prices higher, it is also likely widening the gap between the haves and the have-nots....The disparity between the net worth of those on the top rung of the income ladder and those on lower rungs has been growing.
According to the latest data from the Federal Reserve’s Survey of Consumer Finances, the total wealth of the top 10 percent income bracket is larger in 2009 than it was in 1995. Those further down have on average barely made any gains. Fed Once-Secret Loan Crisis Data Compiled by Bloomberg Released to Public. Bloomberg News today released spreadsheets showing daily borrowing totals for 407 banks and companies that tapped Federal Reserve emergency programs during the 2007 to 2009 financial crisis.
It’s the first time such data have been publicly available in this form. To download a zip file of the spreadsheets, go to For an explanation of the files, see the one labeled “1a Fed Data Roadmap.” The spreadsheets can also be downloaded from here. The day-by-day, bank-by-bank numbers, culled from about 50,000 transactions the U.S. central bank made through seven facilities, formed the basis of a series of Bloomberg News articles this year about the largest financial bailout in history. “Scholars can now examine the data and continue the analysis of the Fed’s crisis management,” said Allan H.
Meltzer, a professor of political economy at Carnegie Mellon University in Pittsburgh and the author of three books on the history of the U.S. central bank. Additional Data Penalty Rates. More on those secret Federal Reserve loans to banks. The claim that the Federal Reserve extended trillions of dollars in secret loans to banks continues to be spread. Here at Econbrowser we will continue to try to correct some of the misunderstanding that is out there. Consider for example this item from the Levy Institute blog written by University of Missouri Professor L. Randall Wray, which begins: It literally took an act of Congress plus a Freedom of Information Act lawsuit by Bloomberg to get [Bernanke] to finally release much of the information surrounding the Fed’s actions.
This is a common misunderstanding. Another key fact that seems to be underappreciated by those passing along these numbers is that the vast bulk of this $7.77 trillion figure was never lent at all. The $7.77 trillion also includes $1 trillion for the Fed’s purchases of mortgage-backed securities. The $7.77 trillion also includes $600 B for outright purchases of Fannie and Freddie debt (which turned out to be only $169 B), and another $300 B for Treasury debt. Supreme Court Gives Fed 5 Days to Release Emergency Bank Loan Details; An Important Step in the Right Direction.
In a rare victory for common sense, the Supreme Court has rejected appeals by banks and the Fed that disclosure of the emergency loans by the Fed to various banks in 2008 were "trade secretes". The court gave the Fed 5 days to release the information. Please consider Fed Must Release Loan Data as High Court Rejects Appeal The Federal Reserve will disclose details of emergency loans it made to banks in 2008, after the U.S.
Supreme Court rejected an industry appeal that aimed to shield the records from public view. “The board will fully comply with the court’s decision and is preparing to make the information available,” said David Skidmore, a spokesman for the Fed.The order marks the first time a court has forced the Fed to reveal the names of banks that borrowed from its oldest lending program, the 98-year-old discount window. Information-Wise, a Big Yawn We will know soon enough, but I expect the information to be a big yawn. Important Step in the Right Direction. Fed's Court-Ordered Transparency Shows Americans `Have a Right to Know' A Supreme Court order that forces unprecedented disclosures from the Federal Reserve ended a two- year legal battle that helped shape the public’s perceptions of the U.S. central bank.
The high court yesterday let stand a lower-court ruling compelling the Fed to reveal the names of banks that borrowed money at the so-called discount window during the credit crisis. The records were requested by Bloomberg LP, the parent company of Bloomberg News. In July, Congress passed the Dodd-Frank law, which mandated the release of other Fed bailout details. Fed Chairman Ben S. Bernanke “now must finally understand that this money doesn’t belong to the Federal Reserve, it belongs to the American people and the American people have a right to know how their taxpayer dollars are being put at risk,” said Senator Bernard Sanders, a Vermont Independent who wrote Fed transparency provisions in Dodd-Frank. “People wanted to know more about what the Fed was doing,” said Paul, a Texas Republican. Ben S. Close. Federal Reserve Emergency Loans: Liquidity for Banks. Bloomberg dévoile des milliers de milliards d'aide US aux banques.
News Responds to Bernanke Criticism of U.S. Bank-Rescue Coverage. Federal Reserve Chairman Ben S. Bernanke said in a letter to four senior lawmakers yesterday that recent news articles about the central bank’s emergency lending programs contained “egregious errors.” While Bernanke’s letter and an accompanying four-page staff memo posted on the Fed’s website didn’t mention any news organizations by name, Bloomberg News has published a series of articles this year examining the bailout. The latest, “Secret Fed Loans Gave Banks $13 Billion Undisclosed to Congress,” appeared Nov. 28. “Bloomberg stands by its reporting,” said Matthew Winkler, editor-in-chief of Bloomberg News, who responded to the criticisms today on “Surveillance Midday” with Tom Keene.
Here is a point-by-point response by Bloomberg News to the Fed staff memo. From Fed memo: “These articles have made repeated claims that the Federal Reserve conducted ‘secret’ lending that was not disclosed either to the public or the Congress. Editors: Robert Friedman, John Voskuhl. Smackdown of the day: Bloomberg vs the Fed. Historically, it was hard for institutions to reply in any effective manner to press reports which they thought were full of egregious errors and mistakes.
They could complain to various editors, and maybe even get a short response on the letters page, but they rarely got the opportunity to reply in their own words and at the length they thought the reply deserved. The web, of course, has changed all that, and ISDA’s media.comment blog is a great example of a criticized institution taking matters into its own hands.
It names and links to the articles it’s criticizing, and I’m pretty sure that it would happily engage in real debate, if those organizations ever deigned to reply. Which they don’t. As a result, ISDA seems — is — more transparent and open than the likes of the New York Times and Bloomberg. The Federal Reserve, on the other hand? Not so much. Nowhere in those six pages is a single article actually identified. Bloomberg did not let the opportunity go to waste. Wall Street Aristocracy Got $1.2 Trillion in Fed’s Secret Loans. Citigroup Inc. (C) and Bank of America Corp. (BAC) were the reigning champions of finance in 2006 as home prices peaked, leading the 10 biggest U.S. banks and brokerage firms to their best year ever with $104 billion of profits. By 2008, the housing market’s collapse forced those companies to take more than six times as much, $669 billion, in emergency loans from the U.S.
Federal Reserve. The loans dwarfed the $160 billion in public bailouts the top 10 got from the U.S. Treasury, yet until now the full amounts have remained secret. Fed Chairman Ben S. “These are all whopping numbers,” said Robert Litan, a former Justice Department official who in the 1990s served on a commission probing the causes of the savings and loan crisis. (View the Bloomberg interactive graphic to chart the Fed’s financial bailout.) Foreign Borrowers It wasn’t just American finance. Peak Balance Odds of Recession Liquidity Requirements ‘Stark Illustration’ 21,000 Transactions Morgan Stanley Borrowing Acceptable Collateral. Audit Of The Federal Reserve Reveals $16 Trillion In Secret Bailouts. Audit Of The Federal Reserve Reveals $16 Trillion In Secret Bailouts By Unelected.org 24 July, 2011Unelected.org Click on the image for a larger picture The first ever GAO(Government Accountability Office) audit of the Federal Reserve was carried out in the past few months due to the Ron Paul, Alan Grayson Amendment to the Dodd-Frank bill, which passed last year.
Jim DeMint, a Republican Senator, and Bernie Sanders, an independent Senator, led the charge for a Federal Reserve audit in the Senate, but watered down the original language of the house bill(HR1207), so that a complete audit would not be carried out. Ben Bernanke, Alan Greenspan, and various other bankers vehemently opposed the audit and lied to Congress about the effects an audit would have on markets. What was revealed in the audit was startling: $16,000,000,000,000.00 had been secretly given out to US banks and corporations and foreign banks everywhere from France to Scotland. Comments are not moderated. Federal Reserve made $9 trillion in emergency loans - Dec. 1, 2010. Top recipients of overnight loans made by the Federal Reserve under special program that ran from March 2008 through May 2009.By Chris Isidore, senior writerDecember 1, 2010: 6:05 PM ET NEW YORK (CNNMoney.com) -- The Federal Reserve made $9 trillion in overnight loans to major banks and Wall Street firms during the financial crisis, according to newly revealed data released Wednesday.
The loans were made through a special loan program set up by the Fed in the wake of the Bear Stearns collapse in March 2008 to keep the nation's bond markets trading normally. The amount of cash being pumped out to the financial giants was not previously disclosed. All the loans were backed by collateral and all were paid back with a very low interest rate to the Fed -- an annual rate of between 0.5% to 3.5%. Still, the total amount was a surprise, even to some who had followed the Fed's rescue efforts closely. "It makes it very clear this was a very serious, very unusual situation," he said. Sen. Share this. I WANT TO COME BACK AS THE FEDERAL RESERVE. YOU CAN INTIMIDATE EVERYBODY. James Carville once said: “I used to think if there was reincarnation, I wanted to come back as the president or the pope or a .400 baseball hitter.
But now I want to come back as the bond market. You can intimidate everybody.” Carville was very close to getting this right. “I used to think if there was reincarnation, I wanted to come back as the president or the pope or a .400 baseball hitter. I’ve spent a great deal of time trying to debunk the idea that bond markets will one day revolt and cause the Fed to raise rates which will appear like bond vigilante justice. To illustrate this point I ran a few correlations across the yield curve in the USA.
What’s interesting in this data is that the bond market is taking its cues almost entirely from the Fed. What’s more interesting is that there appears to be no worry of solvency in this data. 1) The US government should absolutely not be allowed to default. An exit strategy for the Fed.