Business

摘要

America's Federal Reserve and Treasury Department announced that they would make $800 billion available to distressed credit markets in the latest effort to revive the financial system. A new $200 billion facility will extend loans to holders of highly rated securities related to consumer-debt. The Fed will use up to $500 billion to buy mortgage-backed securities guaranteed by government-sponsored enterprises (including Fannie Mae and Freddie Mac) and another $100 billion to buy gse debt. This brought about an immediate, sharp fall in mortgage rates and helped underpin a stockmarket rally.