US Treasury’s responses to questions of the 1st report of the Congressional Oversight Panel for Economic Stabilization

US Treasury’s responses to questions of the 1st report of the Congressional Oversight Panel for Economic Stabilization
PDF file
The response is dated 30 December 2008.

It’s informative. A summary of actions happening in US’s Economic Stabilization.
Refer to the link for details.

Critical objectives:
1. Stabilize financial markets and reduce systemic risk
2. Support the housing market by avoiding preventable foreclosures and supporting
mortgage finance
3. Protect taxpayers.

Legal Act:
Emergency Economic stabilization Act (EESA)

Parties involved:
Treasury, Federal Reserve,FDIC, OTS, and the OCC; Finance Ministries and major Central Banks around the world

(I put in organizations responsible for the actions.)

Actions to Stabilize Financial Markets
1. Term Asset-Backed Securities Loan Facility (TALF) (by Fed)
2. Term Auction Facility (TAF) (by Fed)
3. Term Securities Lending Facility (TSLF) (by Fed)
4. Primary Dealer Credit Facility (PDCF) (by Fed)
5. Money Market Investor Funding Facility (MMIFF) (by Federal Reserve Bank of New York (FRBNY))
6. Temporary Guarantee Program for Money Market Mutual Funds (by Treasury)
7. Commercial Paper Funding Facility (CPFF) (by Fed)
8. Asset-Backed Commercial Paper Money Market Mutual Fund Liquidity Facility (by Fed)
9. Swap Lines with Foreign Central Banks (by Fed)

Actions to Strengthen U.S. Financial Institutions
1. Temporary Increase in Deposit Insurance (by FDIC)
2. Temporary Liquidity Guarantee Program (TLGP) - Debt Guarantee Program (DGP) and Transaction Account Guarantee Program ; (both by FDIC)
3. Capital Purchase Program (CPP) (by Treasury)
4. Systemically Significant Failing Institutions Program (SSFI) (by Treasury)

Initiatives to Support the U.S. Housing Market
1. FHASecure (by HUD)
2. HOPE NOW (by HOPE NOW Alliance)
3. Stabilizing Fannie Mae and Freddie Mac (by Treasury)
4. Hope for Homeowners (by HUD)
5. Streamlined Loan Modification Program (Treasury joined
with the FHFA, the GSEs, and HOPE NOW)
6. Subprime Fast-Track Loan Modification Framework (Treasury worked with the
American Securitization Forum)

(Sigh)..very much like Great Depression’s time "Alphabet Agencies" organizations under New Deal. The document also mention on progress of Economic Stabilization. This is interesting read too.

Will these actions be able to stabilize US economy ?

EPFR Global – global fund flows and allocations data

Where does the money flow to ? Sometimes I ponder about this question.

EPFR Global provides fund flows and asset allocation data.
EPFR Global website
However, (sigh) this data is not free.

We can still find some useful data from the website’s headlines.
For examples,
look at "Weekly Fund Flows" headlines:
… US and China equity funds favored while pressure on bond funds ease.
…. Some signs of risk appetite as flows into EM equity funds hit a 20-week high.
… Europe Equity and Money Market Funds extend wining runs in early December.

We can also look at "EPFR Daily – fund flow alerts" news flash.
This will be a more updated (daily) news on fund flows.
Anybody is subscribing to the service ?

Note: If you like to invest in different countries, you may wish to take a look on my other posts on countries such as United States of America, China, Singapore and Malaysia.

Related Posts with Thumbnails


The opinion post on this blog is personal and is not an inducement to buy or sell any investment products. The author of this blog will NOT be held responsible for any losses incurred due to the reliance on any content of this blog for investment decisions.