The Fed Spent $350 Billion Bailing Out Foreign Banks
Posted by Jim Hoft on Thursday, December 2, 2010, 5:01 AM
Your taxpayer dollars at work… bailing out foreign banks.
The Fed spent $350 billion bailing out foreign banks during the financial meltdown.
Zero Hedge reported, via Free Republic:
One may be forgiven to believe that via its FX liquidity swap lines the Fed only bailed out foreign Central Banks, which in turn took the money and funded their own banks. It turns out that is only half the story: we now know the Fed also acted in a secondary bail out capacity, providing over $350 billion in short term funding exclusively to 35 foreign banks, of which the biggest beneficiaries were UBS, Dexia and BNP. Since the funding provided was in the form of ultra-short maturity commercial paper it was essentially equivalent to cash funding. In other words, between October 27, 2008 and August 6, 2009, the Fed spent $350 billion in taxpayer funds to save 35 foreign banks.
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Published May 21, 2012 at 12:19 am - 58 Comments
It's worse than that commented:
They also lent 8 Trillion (that t as in TRILLION) to the ECB:
ECB – 271 borrowings for gross rolling total of just over $8 trillion.
http://www.zerohedge.com/article/observations-progress-fed-data-dump-which-we-learn-merrill-pledged-77-fed-loan-equity-collat
Ginger commented:
Makes you wonder where the money is really going! I do not trust those tax cheats running our country. I can not wait until the new rebublican leaders takes control of our money and I pray that they do a relentless investigation.
btw… all of the federal workers needs to be audited! I hear we have millions of loss revenue with federal workers.
aprilnovember811 commented:
This is so horrible. They have robbed the United States Treasury. I’m going to be sick.
Ginger commented:
Have you heard that he is bringing 80,000 more foreign people into our country next year? He has already brought thousands here. How much you want to bet that they are all males around 20 to ? of age. Guess they are hiding out at the muslim training camps and mosque now he wants to feed his army to fight us! They are his brown shirts along with the black panthers. btw… most all or muslims!!!!!!
Congress….STARVE THE BEAST
Francesca commented:
Surely, this is an impeachable offense! Obama is a destroyer.
StrangernFiction commented:
From Wapo:
“By the fall of 2008, credit had frozen across the financial system, including the commercial paper market. The Fed then purchased commercial paper issued by GE 12 times for a total of $16 billion.”
Crony capitalism at its finest. Sorry, but you can’t save ANYTHING by abandoning conservative/free-market principles. You just kick the can down the road.
shibumi commented:
A question for those that are more financially knowledgeable than I am. Are all of these bailouts helping or hurting the value of the US dollar? By propping up the Euro are we helping ourselves or not?
wanumba commented:
An insurance guy said we are bailing out massive sharia-compliant losses at the secondary tier. It’s transfer of wealth to sharia banking. Those sharia-compliant loans go sour but the companies buy coverage of those loans from non-sharia insurance. So the non-sharia banking pays up, stuck with the bill.
OLD FAN commented:
THANKS DEMOCRATIC PARTY!
Can we bill them for the loss overseas?
You know, once the GOP takes control of the House, can see send a bill to the DNC directly?
Especially for Nancy Pelosi’s wasting tax payer funds with flying her to CALI with the Military?
All this US TAXPAYER MONEY, all that appeasement, and “smart power” – the disastrous Clinton State Department could NOT influence anyone?
Even more evidence we need to RESET the State Department and the Obama folly.
tj commented:
Where in our US Constitution does it say that the Federal government is allowed to give our hard earned money to folks overseas?
This includes bank bailouts, mosque renovations, Eqyptian sewers, genital washing lessons for African men…
Is it fraud when money is misappropriated like that?
Robert commented:
Not just Obama: more than half of this money was spent before he even became President