Inject Liquidity Shoots Bags

January 25th, 2013

The European Central Bank, the US Federal Reserve, the Bank of England, the Bank of Japan and the Swiss National Bank they agree. The ECB has announced three operations of liquidity in dollars before the tension of the markets. Large financial institutions have taken a blow in the table and have agreed to inject liquidity to the ailing European banks. The coordinated action of the European Central Bank (ECB), the US Federal Reserve (Fed), the Bank of England, the Bank of Japan and the Swiss National Bank (SNB) has underpinned the rise in European stock markets. Since the beginning of August the European parks suffer oscillations which had located some countries in March 2009 figures. The European Central Bank has announced three additional operations that injection of dollar liquidity, currency in which European banking struggles to finance itself.

It will pay to the European commercial banks requiring a fixed interest rate to ensure that they will have enough dollars until end of year. These operations are already additional to the ECB ctua a weekly auction. The Monetary Authority has informed this Wednesday lent dollars to two banks of the zone euro, action that did not carry out from makes a month thing. A total of 575 million dollars, with a fixed interest rate of 1.10% type and a change of the euro to 1,362 dollars. The ECB, which can only inject liquidity in their own currency, maintains a reciprocal currency agreement of a temporary nature (swap line) with the Fed American since mid-September of 2008 after the intensification of the financial crisis with the collapse of Lehman Brothers. This is what allows the financial agency in certain situations injected into dollars. The actions of Societe Generale and Credit Agricole, banks that Moody s agency downgraded its rating on Wednesday, climbed more than 9%. The rest of the European banking has also experienced increases, but has been the French which has suffered greater punishment of the markets in recent weeks. Source of the news: A great deal of central banks to inject liquidity shoots bags

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