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Banks May Not Be Lending, But They Are Buying Treasurys [CNBC]

Friday, April 23, 2010 - 1:19 PM
Though banks continue to be hesitant to lend to consumers, they have stepped into the market for Treasurys that help finance the government's burgeoning debt.
There's speculation that there may be a gentleman's agreement between the Fed and the banks to keep rates low. As one economist was quoted:
I'm sure it's at the behest of (Fed Chairman) Ben Bernanke-we're going to keep rates low but you must facilitate the Treasury auctions going off smoothly.
Thanks to the reader who mentioned this article in the Open Discussions Thread.
Ken TuminKen Tumin5,472 posts since
Nov 29, 2009
Rep Points: 125,708
1. Friday, April 23, 2010 - 4:58 PM
Nothing surprises me anymore when it comes to the determined effort to keep rates at rock bottom to facilitate obscene profits for the Wall Street banksters while at the same time throwing savers overboard.
AnonymousAnonymous2,282 posts since
May 9, 2010
Rep Points: 3,961