Rondaben
June 14th, 2008, 01:45 AM
Here (http://www.federalreserve.gov/newsevents/press/monetary/20080603a.htm) is the latest results for the Term Auction Facility. For clarification, the TAF was created by the Federal Reserve to auction of it's holding of Treasuries to Banks who will exchange their "bad" loans for the Treasuries.
The Fed has established that as of right now, this will occur at the rate of 75 Billion per week.
and how for the news...
On June 2, 2008, the Federal Reserve conducted an auction of $75 billion in 28-day credit through its Term Auction Facility. Following are the results of the auction:
Stop-out rate: 2.26 percent
Total propositions submitted: $95.914 billion
Total propositions accepted: $75.000 billion
Bid/cover ratio: 1.28
Number of bidders: 73
73 banks lined up to the trough. Together they wanted almost $100 Billion in swaps. The rate of interest was 2.26 percent.
I'm wondering if Lehman was one of those who didn't get the goods and that is why they needed to raise capital the good old fashioned way--selling stocks?
The Fed has established that as of right now, this will occur at the rate of 75 Billion per week.
and how for the news...
On June 2, 2008, the Federal Reserve conducted an auction of $75 billion in 28-day credit through its Term Auction Facility. Following are the results of the auction:
Stop-out rate: 2.26 percent
Total propositions submitted: $95.914 billion
Total propositions accepted: $75.000 billion
Bid/cover ratio: 1.28
Number of bidders: 73
73 banks lined up to the trough. Together they wanted almost $100 Billion in swaps. The rate of interest was 2.26 percent.
I'm wondering if Lehman was one of those who didn't get the goods and that is why they needed to raise capital the good old fashioned way--selling stocks?