Fed makes two surprise moves
Published March 17, 2008 by CSBJ Staff
The Federal Reserve Board cut the primary credit rate another 25 basis points yesterday, to 3.25 percent, – two days before its regularly scheduled meeting.
The Fed also voted to authorize the Federal Reserve Bank of New York to create a lending facility that enables primary dealers to provide improved financing to participants in securitization markets.
The facility opened for business today and will be in place for at least six months.
The board also approved an increase in the maximum maturity of primary credit loans from 30 days to 90 days.
Filed under Banking and Finance, CSBJ Daily, Economics