[lbo-talk] Fed makes soothing noises

[Doug Henwood]

[A day late, but hey. It's odd they cite the exact fed funds target,  
as if underscoring their intention of keeping it there.]

<http://www.federalreserve.gov/boarddocs/press/monetary/2007/20070810/ 
default.htm>

For immediate release

The Federal Reserve is providing liquidity to facilitate the orderly  
functioning of financial markets.

The Federal Reserve will provide reserves as necessary through open  
market operations to promote trading in the federal funds market at  
rates close to the Federal Open Market Committee's target rate of  
5-1/4 percent. In current circumstances, depository institutions may  
experience unusual funding needs because of dislocations in money and  
credit markets. As always, the discount window is available as a  
source of funding.