Not MILF, you perverts — MMIFF! Its the latest Fed funding mechanism, the Money Market Investor Funding Facility:
"The Federal Reserve Board on Tuesday announced the creation of the Money
Market Investor Funding Facility (MMIFF), which will support a private-sector
initiative designed to provide liquidity to U.S. money market investors.
Under the MMIFF, authorized by the Board under Section 13(3) of the Federal Reserve Act,
the Federal Reserve Bank of New York (FRBNY) will provide senior secured funding
to a series of special purpose vehicles to facilitate an industry-supported
private-sector initiative to finance the purchase of eligible assets from
eligible investors. Eligible assets will include U.S. dollar-denominated
certificates of deposit and commercial paper issued by highly rated financial
institutions and having remaining maturities of 90 days or less. Eligible
investors will include U.S. money market mutual funds and over time may include
other U.S. money market investors."
And I said 2 to 3 trillion! How quaint . . .
Federal Reserve announces the creation of the Money Market Investor Funding Facility (MMIFF)
Federal Reserve October 21, 2008
Fed Sets Up New Program to Buy Money-Fund Assets
Bloomberg, Oct. 21 2008
click for video
Banks are supposed to lend money, and when they stop – as they have in recent
months – the workings of our entire economy are threatened. Credit became so
frozen, the government had to step in this past week and take an ownership stake
in the country’s biggest banks.
On Monday Treasury Secretary Henry
Paulson summoned the CEOs of the nine largest banks to Washington – and gave
them a massive amount of money so they would start lending again.
largest of the banks is Bank of America (B of A) – now partly owned by the
United States of America.
The head of Bank of America, Ken Lewis, says
that when he and the others met at the Treasury Department, it became clear that
Secretary Paulson’s "offer" was an ultimatum – no negotiations.
other words, take it or leave it?" correspondent Lesley Stahl asked.
"Right. Right, right."
The Bank Of America
The CEO Of The Nation’s Largest Bank Talks About Treasury’s Plans For Buying Into Financial Firms
60 Minutes, Oct. 19, 2008
My boy Chris Whalen, managing director at Institutional
Risk Analytics, on the banking crisis:
Bailout Nation: More Govt. Control of JPMorgan, Citi, BofA Coming
Yahoo Tech Ticker, Oct 20, 2008 11:32am EDT