Thursday, August 25, 2011

The Fed's Secret $1.2 Trillion in Loans

Bloomberg's "Inside Track" provide a sketch of where the money went when Bernanke's Fed went on its lending binge from August 2007 through April 2010. The numbers are, well, numbing. And it was not just American banks who were lining up for the cash. Several industrial companies got Fed money and billions wer even lent to foreign banks.

"Inside Track" reports that "The largest borrower, Morgan Stanley, got as much as $107.3 billion, while Citigroup Inc. took $99.5 billion and Bank of America Corp. $91.4 billion. . . ." It is moves like this that enshrines 'too big to fail" as national policy.

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