On September 17, 2019 the lending rate in the overnight repos spiked to unprecedented 10% (normally 2%), necessitating an emergency infusion by the Federal Reserve (Fed) to prevent the breakdown of the cash market.  The Fed injected $53 billion infusion on Tuesday then $75 billion the following days. [5, 6]

  • This directive was found to have been authorised by FOMC 48 days earlier on July 31, 2019. [1, 2, 4]
  • The bail-out was greater than the 2008 credit crisis
  • In the last quarter of 2019 the Fed pumped $4.5 trillion in cumulative repo loans to unnamed trading houses on Wall Street.
  • Historical injections by Fed: Great Depression, WW2, 2008 crisis [3]
  • The Federal Reserve gave $4.5 Trillion to just 3 banks JP Morgan, Goldman Sachs, and Citibank – crickets from the news – [7, 8]

The chronicling of the Fed Bailout READ >>>