Feds and others give $200 billion to the Financial Markets

Trash Dispatch:

Feds and others give $200 billion to the Financial Markets

Federal Reserve and other central banks said they will pump $200 billion into the financial markets to help ease the strain from the credit crisis. The Feds acting in concert with the European Central Bank, Bank of Canada and the Swiss National Bank, agreed to loan banks money in exchange for debt that includes slumping mortgage backed securites

read more | digg story

—

TrashDispatch: Digger “magoghm” (http://digg.com/users/magoghm),
commented on this story saying;
“From the article: “The plan basically allows Wall Street’s biggest institutions to put up troubled assets as collateral for loans, use the new capital to make money in the market, and then pay back the loan up to 28 days later.”
Also from the article: “The Fed is basically going to take the bad loans off the banks’ books, and the market seems to be loving that idea.”
They are going to solve their problems in 28 days? I don’t think so.
This sounds to me too much like: “I give you the opportunity to make your bad loans disappear from your books for 28 days, and instead you’ll have lots of cash. As this is happening in March, you’ll be able to have magnificent results in your financial reports for the first quarter of 2008. And it won’t cost you too much, just a small interest on the money I’ll loan to you”.
That’s the Fed’s solutions to the problems with economy? Help the banks cook the books?” [link ; to comment at digg.]

For the Trash Dispatch however, the “insult”, is not that the Fed is bailing out another financial institution. But that “United States” needs the help of FOREIGN countries to do so. As this can only mean, the United States “is” broke, and one step closer to the “Amero”!

Amero: a currency backed by Foreign countries, and not by American Gold!