JP Morgan: Fed’s emergency lending program will provide $2 trillion in liquidity
Bi123 News On March 16, Bloomberg reported that JPMorgan Chase believes that the Federal Reserve’s emergency lending program may inject as much as $2 trillion into the U.S. banking system and alleviate the liquidity crisis. "Utilization of the Fed's bank term funding program could be substantial," JPMorgan strategists led by Nikolaos Panigirtzoglou wrote in a note. While the largest banks are unlikely to take advantage of the program, they said The plan envisions a maximum use of nearly $2 trillion, which is the face amount of bonds held by the U.S. banking industry except for the five largest banks.
