Re: ECB ending Fed swap lines!

[Skip to the end] (email exchange) >    >   On Fri, Dec 19, 2008 at 9:25 AM, Scott wrote: >    >   ECB says to discontinue US dollar swap OPS from end Jan. >    >   I guess they don’t want euro to strengthen! >    Exactly! This is the new century version of ‘competitive devaluations.’ Paulson moved first by talking foreign […]

ECB funding national government securities

[Skip to the end] ECB cuts to 2.5pc and mulls “printing money” By Ambrose Evans-Pritchard The Maastricht Treaty prohibits the ECB from injecting stimulus by purchasing the government debt of the eurozone’s fifteen states debt — a method known as “monetizing the deficit” or, more crudely, as “printing money.” But it can achieve the same […]

Re: Commentary

[Skip to the end] >    >   The banks using the ECB’s liquidity program deposited a record 160 >   billion Euros with the ECB overnight, rather than lend them to other >   banks or market participants. >    Jeff, ‘lending them out’ wouldn’t have changed that number. At most it would have moved the funds from one bank’s reserve account […]

ECB council member foresees ‘tri-polar’ currency system

[Skip to the end] (email exchange) >    >   On Sun, Oct 19, 2008 at 11:06 PM, wrote: >    >   Sure he can say that now so long as the Fed is there to >   backstop everything. These Europeans have no shame. >    Right, the Eurozone is surviving on the unlimited Fed USD swap lines. That’s a complete ideological […]

Re: The first weak link to be probed?

[Skip to the end] (email exchange) Good read, thanks, passing it along. >    >   On Thu, Oct 16, 2008 at 8:22 PM, wrote: >    >   Even though Hungary is not a member of the euro zone, this analysis >   suggests that this could be the weak link which shatters the whole euro >   project. Is the ECB now going […]

ECB extending collateral (to almost anything)

[Skip to the end] And this includes the ‘appropriate collateral’ for the unlimited USD loans as well. ECB extending collateral (to almost anything) ECB extending collateral (to almost anything) and introducing more longer dated repos with full allotment. Significant points: acceptable ratings down from A- to BBB- (except for ABS) syndicated loans included, also wider […]

Total euro CB offerings (update1)

[Skip to the end] The total is now up to $354 billion including $100 billion in overnight funds added by the ECB. Haven’t seen overnight funds by the Bank of England or Swiss National Bank. Haven’t seen any Bank of Japan numbers. ECB Leads Push to Flood Banks With Unlimited Dollars (update1) Oct. 15 (Bloomberg) […]

Re: Fed to lend to CBs in unlimited quantities

[Skip to the end] (email exchange) >    >   On Mon, Oct 13, 2008 at 3:00 PM, Craig wrote: >    >   Since nobody understand the local currency / foreign currency distinction and >   since these obligations are part of the normal financial commerce of these >   countries, is it possible that these loans will allow the markets to normalize, >    […]