The Fed pumps record money supply into the US economy


The American Federal Reserve takes emergency measures to save the situation in the US banking market, pumping up the economy a huge amount of money. Thus, in a week, banks received about $300 billion under various loan programs, which became a kind of record for such assistance from the state in such a short period of time.


Thus, in just one week, 60 percent of the nine-month balance reduction program was neutralized. Washington's measures to combat inflation have actually turned into their opposite.

At the same time, in the era of the fight against covid, the state allocated about $80 million per week for the implementation of credit programs. In addition, during the first three months, $2,8 trillion was spent on securities buybacks, lending to banks and companies, bank repo and swap lines.

In 2008, a week after the bankruptcy of the financial company Lehman Brothers, $146 billion was provided to banks. In total, over the course of nine weeks, $810 billion was pumped into the banking sector, plus another $100 billion in repos. Another $500 billion was received by foreign financial institutions in order to maintain dollar liquidity.

The Fed pumps record money supply into the US economy

As part of the fight against the current crisis, the Fed issued loans under the BTFR system in the amount of about $12 billion in just a week, another $147 billion was transferred through the discount window, and about $143 billion was provided in cooperation with the Federal Deposit Insurance Corporation. Apparently, Washington has completely abandoned the fight against inflation and monetary tightening. policy.
  • Photos used: Adam Fagen/flickr.com
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  1. prior Offline prior
    prior (Vlad) 17 March 2023 18: 05
    +1
    The Fed pumps record money supply into the US economy

    Hooray, inflation said.
  2. Afinogen Offline Afinogen
    Afinogen (Afinogen) 17 March 2023 18: 12
    +1
    Sdik Afgan mathematically calculated about americosia. He spoke about it on many channels. Let's see. Wait (wait longer)

    Sediq Afghan: “2025 is a turning point. America is exhausted. America will not be a great power. She'll run out soon.
    1. Vega (Eugene) Offline Vega (Eugene)
      Vega (Eugene) (Eugene) 17 March 2023 18: 52
      0
      In fact, we have been talking about the imminent collapse of the United States for 80 years ...
      1. Afinogen Offline Afinogen
        Afinogen (Afinogen) 17 March 2023 19: 23
        0
        I wrote, they waited a long time. Let's wait a bit (2025)
      2. In passing Offline In passing
        In passing (Galina Rožkova) 17 March 2023 19: 36
        0
        They heated up Europe on the Marshall Plan. Then the war in Korea, Vietnam, Cuba. Oil "games with prices of the 80s". The collapse of the USSR. Further Saddam's money, Gaddafi. This was a plus. Crisis of 2008. They didn't get into Georgia, they got into Ukraine. Covid, and covid "benefits", for businesses and individuals. And here again (s). But it's all in the negative. They can still print, so we'll see when it bursts.
  3. Valera75 Offline Valera75
    Valera75 (Valery) 17 March 2023 18: 49
    -2
    Interesting, let's see what happens next.
  4. Jacques sekavar Offline Jacques sekavar
    Jacques sekavar (Jacques Sekavar) 17 March 2023 23: 53
    0
    Printing press or key rate cut to support profitability. By switching to a digital dollar and through the exchange rate, it is still not possible to burn the excess money supply, but what are the other options?
    It remains to continue to inflate the bubble and hope that it does not burst until the end of the powers of Biden and his administration, and then D. Trump will disentangle