On Thursday morning, the Federal Reserve Bank of New York announced its intentions to conclude arrangements for the financing of JPMorgan's acquisition of Bear Stearns by June 26 and finish valuating the investment bank's portfolio. "The New York Fed, in coordination with JPMorgan Chase, is working carefully...
The Federal Reserve offered no explanation for the quarter-point cut in the discount rate on the day of the near-collapse of Bear Stearns in minutes of the March 16 meeting. The minutes, released Tuesday, said Fed regional banks unanimously approved a 25 basis point reduction in the discount rate on...
Fears that the bankruptcy of Bear Stearns would cause widespread uncertainty about the financial conditions of other global investment banks and further deepen the credit crunch prompted Federal Reserve officials to engineer the company's rescue plan, New York Fed Bank President Timothy Geithner said...
Wednesday, Federal Reserve Chairman Ben Bernanke touched on a variety of factors contributing to the current weak state of the U.S. economy, but also defended the Fed's recent actions to facilitate a deal that prevented a major investment bank from collapsing. Testifying before the congressional Joint...
The Federal Reserve had a busy weekend. First, of course, the Fed arranged to assist J.P. Morgan Chase in acquiring Bear Stearns by approving a $30 billion credit line to J.P. Morgan, secured by the Bear Stearns portfolio, a move that, by early Monday the talking heads were referring to as "nationalizing...