Running tally of Fed/Treasury lending since Dec 2007

hammocksleeper — Tue, 28 Oct 2008 04:32:12 +0000

The TARP was created to give Congressmen something to take back to their districts, and to give the media something to talk about so that Joe Sixpack can feel like he understands what the solution is. It has taken a long time for action to be taken on it. Yet the Bald and the Beard have been taking drastic and unprecedented action, largely unnoticed by people outside of Wall Street, for nearly a year now. I will spare you the list of 50 or so actions over the last ten months, and instead show you how much exposure to risk the Fed/Treasury has taken on. We are already well over $2 trillion, not including the $700 billion rescue plan from Congress.

Update: $139b backing for GE Capital from FDIC. $25b loan to auto industry. $140b tax break for bank loss writeoffs. Fed buys $100b of GSE-issued debt. Fed buys $500b of GSE-backed MBS. Fed $200b consumer finance lending facility Term Asset-Backed Securities Loan Facility (TALF). Citigroup rescue ($309b).

Discount window – ~$121 billion
Series of extraordinary repos – $100 billion
Term Auction Facility – $900 billion (brand new since Dec 07, and grew from an original $150 billion)
Term Securities Lending Facility – $200 billion (brand new since Mar 08)
Primary Credit Dealer Facility – unlimited, currently averaging $29 billion (brand new since Mar 08)
Commercial Paper Funding Facility – unlimited, there are up to $1.3 trillion worth of qualifying collateral (created Oct 08)
Money Market Investor Funding Facility – $540 billion (created 21 Oct 08)
Currency swap lines with nine central banks totaling $277 billion (a new facility that was created Dec 07 and grew from just $24 billion and two CBs)
Bear Stearns/JP Morgan bailout – $29 billion
AIG bailout – $150 billion
Fannie/Freddie bailout – $200 billion (equity stake)
And the last 13 months, the Fed funds and discount rates have been lowered from 5.25% and 5.75% to 1.00% and 1.25%

The Oyster

Running tally of Fed/Treasury lending since Dec 2007

Discount window – ~$121 billion

Series of extraordinary repos – $100 billion

Term Auction Facility – $900 billion (brand new since Dec 07, and grew from an original $150 billion)

Term Securities Lending Facility – $200 billion (brand new since Mar 08)

Primary Credit Dealer Facility – unlimited, currently averaging $29 billion (brand new since Mar 08)

Commercial Paper Funding Facility – unlimited, there are up to $1.3 trillion worth of qualifying collateral (created Oct 08)

Money Market Investor Funding Facility – $540 billion (created 21 Oct 08)

Currency swap lines with nine central banks totaling $277 billion (a new facility that was created Dec 07 and grew from just $24 billion and two CBs)

Bear Stearns/JP Morgan bailout – $29 billion

AIG bailout – $150 billion

Fannie/Freddie bailout – $200 billion (equity stake)

And the last 13 months, the Fed funds and discount rates have been lowered from 5.25% and 5.75% to 1.00% and 1.25%