Investors hoping for Fed action to boost economy
http://news.yahoo.com/investors-hoping-fed-action-boost-economy-070324034--finance.html
What's the problem, just raise the interest rate.
http://news.yahoo.com/investors-hoping-fed-action-boost-economy-070324034--finance.html
The Fed has kept its key policy lever, the federal funds rate, at a record low near zero since December 2008. And it has said it plans to keep it there until at least late 2014.
Given that it can't drive short-term rates any lower, the Fed has tried to further reduce long-term rates by buying more than $2 trillion in Treasury bonds and mortgage-backed securities.
Given that it can't drive short-term rates any lower, the Fed has tried to further reduce long-term rates by buying more than $2 trillion in Treasury bonds and mortgage-backed securities.