Fed makes 'aggressive' move to back corporate debt markets, Main St.


The Federal Reserve called a third emergency meeting to combat the economic impact of the novel coronavirus and unveiled a number of new and “extensive” measures on Monday that would expand the Fed’s efforts to calm corporate debt markets. The Fed also said a direct lending program to Main Street businesses will be announced soon.
With turmoil continuing in corporate financing markets, the Fed expanded the scope of its asset purchases under its quantitative easing program and announced four new measures to grease the commercial paper, corporate bond, and even ETF markets.

The Fed also committed to the “establishment of a Main Street Business Lending Program to support lending to eligible small-and-medium sized businesses,” similar to programs from the Small Business Administration.

The Fed estimates the impact of its measures to provide about $300 billion in new financing available to businesses.

More:
https://www.yahoo.com/finance/news/f...120121252.html

(Futures turn positive in response, expect higher open)