Further efforts to help US financial market and economy

[Guest guest]

Dear friends,

 

Today, the US government announced major additional efforts to jump start lending in the US credit market. The reaction of the stock market was positive but hesitant. While there are signs a bottom is being put into place, we could expect volatility a little bit longer as the transits remain challening through the first week of December.

 

Fed Commits $800 Billion More to Unfreeze Lending

 

By Scott Lanman and Dawn Kopecki

Nov. 25 (Bloomberg) -- The Federal Reserve took two new steps to unfreeze credit for homebuyers, consumers and small businesses, committing up to $800 billion.

The central bank will purchase as much as $600 billion of debt issued or backed by government-chartered housing-finance companies. It will also set up a $200 billion program to support consumer and small-business loans, the Fed said in statements today in Washington.

http://www.bloomberg.com/apps/news?pid=20601087 & sid=ai_aErzotzx8 & refer=home

 

U.S. Stocks Gain After Fed Announces $800 Billion Lending Plan By Elizabeth Stanton

Nov. 25 (Bloomberg) -- U.S. stocks advanced and the Standard & Poor¢s 500 Index posted its first three-day gain since September after the Federal Reserve committed as much as $800 billion to help resuscitate lending.

http://www.bloomberg.com/apps/news?pid=20601087 & sid=avNMH_kISBu4 & refer=home

 

Best wishes,

 

Thor