Repo Loans

The Treasury, financed by the Fed, now is buying securities and backstopping loans, essentially nationalizing large swaths of the financial markets. The Fed announced $1-trillion a day in repurchase agreements (repo loans) and unlimited quantitative easing.

Since the Federal Reserve began its repo-loan operations on September 17, the tally of the Fed’s cumulative low-interest-rate loans to Wall Street’s trading firms comes to more than $9-trillion.

The Fed’s repo loans to Wall Street banks that began on September 17, 2019, will deliver another $270-billion in loans at unprecedented low interest rates. Congress has no control over any of this.

Headlines about the virus did not appear in the US until January of 2020, but the Federal Reserve began making hundreds of billions of dollars in loans to Wall Street’s banks on September 17, 2019. The Fed was creating money to keep banks afloat a little longer, and the cost was passed to the consumer.

Hedge funds, globally, are in a financial tail spin, and many have already blocked investors from withdrawing their money. True to form, the Federal Reserve is preparing to infuse these firms with super low-cost loans that will help to bail them out - at taxpayer expense, of course.

The Federal Reserve Bank of New York has refused to inform GATA, a watchdog group, which investment houses have been getting the infamous "repo" loans, and informed them that they must wait two years to discover the identity of the loan recipients.