Global Biz

    Fed, worried about recovery, will buy US debt

    (Agencies)
    Updated: 2010-08-11 05:54
    Large Medium Small

    Fed, worried about recovery, will buy US debt
    US Treasury Secretary Timothy Geithner (R) meets with Federal Reserve Board Chairman Ben Bernanke (3rd L) at the Treasury Department in Washington July 29, 2010. [Agencies]

    WASHINGTON -- As recently as two months ago, the Federal Reserve sounded optimistic about the US economic recovery. Now the central bank is clearly more worried, and economists say there is not much more it can do to help.

    The Fed said Tuesday that it would spend a relatively small amount of money -- about $10 billion a month, economists estimate -- buying government debt. The move is designed to drive interest rates on mortgages and corporate borrowing at least a little lower and help the economy grow faster.

    In a statement after a one-day meeting, the Fed said the pace of the recovery "has slowed in recent months." After its last meeting in late June, the Fed was rosier, saying that the recovery was "proceeding" and the job market actually improving.

    The decision to buy government debt, using proceeds from Fed investments in mortgage bonds, was a shift from earlier this year, when the Fed was laying out plans to roll back some of the measures it took during the financial crisis.

    At that time, the Fed was also preparing a strategy to begin raising interest rates again, a step taken to keep a growing economy from overheating. Now, though, the Fed has decided to keep its benchmark interest rate near zero.

    "I don't think they are going to raise interest rates until it is very clear that unemployment is moving definitively lower and that doesn't look likely until late 2011," said Mark Zandi, chief economist at Moody's Analytics.

    Economists pointed out that buying $10 billion of government debt in a $14 trillion economy is a relatively small move, and they said they did not expect it to have a dramatic impact.

    "The Fed talked loudly but carried a small stick," said Joel Naroff, president of Naroff Economic Advisors.

    He said that while the financial system has the money to lend, banks are unwilling or unable to find suitable loans to make. Until they do, he said, "the recovery will be softer than anyone hoped for and there may be little the Fed can do about it."

       Previous Page 1 2 Next Page  

    天码av无码一区二区三区四区| 最近中文字幕完整在线看一| 台湾佬中文娱乐中文| 久久久久亚洲av无码专区喷水| 天堂在/线中文在线资源官网| 免费A级毛片无码A∨中文字幕下载| 日韩乱码人妻无码中文字幕视频| 一本大道久久东京热无码AV| 无码人妻丰满熟妇区免费| 无码人妻精品一区二区三区蜜桃| 人看的www视频中文字幕| 精品深夜AV无码一区二区| 亚洲中文字幕成人在线| 色综合久久无码中文字幕| 国产亚洲精品无码专区| 人妻av无码一区二区三区| 精品久久久无码21p发布| 精品久久久久久无码中文野结衣| 亚洲Aⅴ无码一区二区二三区软件| 无码人妻黑人中文字幕| 亚洲中文字幕无码一区| 中文无码熟妇人妻AV在线| 亚洲中文字幕无码久久综合网| 午夜无码中文字幕在线播放| 国产午夜无码专区喷水| 久久伊人中文无码| 97久久精品无码一区二区| 人妻无码αv中文字幕久久| 亚洲乱亚洲乱妇无码麻豆| 亚洲精品无码AV中文字幕电影网站| 色综合天天综合中文网| 日本乱中文字幕系列观看| 欧美在线中文字幕| 欧美亚洲精品中文字幕乱码免费高清 | 国产高清无码二区 | 免费A级毛片无码A∨中文字幕下载| 中文字幕无码精品亚洲资源网久久 | 精品久久久无码中文字幕| 精品国产a∨无码一区二区三区 | 久久亚洲精品无码播放| 熟妇人妻中文av无码|