Interest rates likely to rise cciidcg/Getty Images 4/4 5/4 6/4 7/4 1/4

Posted by azemina
Category:

Interest rates likely to rise cciidcg/Getty Images 4/4 5/4 6/4 7/4 1/4

“The Fed is not doing its job and should stop wasting taxpayers’ money,” said Robert Koehn, an economist at Moody’s Analytics in St Louis, Missouri.

“It needs to take over the portfoli우리카지노o of Treasuries it buys from the Fed and stop selling too many to a few governments at a time,” he said.

In November last year, the Fed’s monthly bond purchases accounted for abonatyasastra.comut a fifth of its holdings.

The Fed buys $85bn worth of mortgage-backed securities and buys bonds backed by government-backed mortgage-backed securities from the Treasury under “quantitative easing” programmes in the Bank of England and the Bank of Japan, and then distributes them to banks which buy them on their own.

As the value of the US dollar has weakened, buying Treasuries from the Fed has fallen to its lowest level since 2006, after falling to record lows about three years ago, as the effect o우리카지노f weaker US manufacturing has hit earnings across most sectors.

Leave a Reply