AFX News Limited
US Fed reportedly injects 24 bln usd to calm markets
08.09.07, 11:33 AM ET
WASHINGTON (Thomson Financial) – The US Federal Reserve has reportedly injected 24 bln usd into financial markets this morning, higher than the 15 bln usd markets had expected.
‘This in turn suggests that funding issues in the US are running near normal which also suggests that the funds rate will likely tend to move lower over the course of the session. The market appears to be appreciating the benign implications with treasury prices now coming off the boil,’ said Kenneth Logan at Thomson IFR Markets says
There was no statement from the Fed or indication of any to come but in the past it has said it would stand ready to inject liquidity if needed during periods of Wall Street turmoil.