Fed unveils $300bn quant easing plan

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 launched the Term Asset-Backed Securities Loan Facility to facilitate the extension of credit to households and smal...