Fed unveils $300bn quant easing plan

The Federal Reserve has unveiled its own quantitative easing plan in a bid to kick-start the US cred...

The Federal Reserve has unveiled its own quantitative easing plan in a bid to kick-start the US credit markets. Similar to the Bank of England's strategy to buy UK gilts, the Federal Open Market Committee has launched a new facility to purchase up to $300bn in longer-term Treasury securities over the next six months. It will also purchase up to an additional $750bn of agency mortgage-backed securities, bringing its total purchases of the securities to upwards of $1.25trn this year, and will increase its agency debt buys by up to $100bn to a total of $200bn. "The Federal Reserve has la...