The Fed is starting its program to purchase corporate bond ETFs

The Fed is starting its long-awaited program in which it will purchase corporate bonds and ETFs that track them.

In particular, the buying will target "fallen angels" that have been downgraded due to the coronavirus crisis.The New York Federal Reserve building in New York.The Federal Reserve will be starting its long-awaited corporate bond program Tuesday amid a boom in debt issuance. The central bank will kick off its Secondary Market Corporate Credit Facility, which is part of a history-making initiative in which it will purchasethat track the corporate debt market. Asset management giant BlackRock will be running the operation under the New York Fed's supervision.

In particular, the facility will buy up ETFs that hold so-called fallen angel bonds of companies that formerly had been classified as investment grade but have been downgraded to speculative or junk, particularly in cases where those downgrades happened due to the coronavirus crisis. Its companion program, the Primary Market Corporate Credit Facility, in which the Fed will be buying the actual bonds as well as syndicated loans, is scheduled to start soon.

Source: News Formal (newsformal.com)

Truth

How does the fed liquidate equities with manipulating sectors? This is so dangerous. There is now no intelligent organic structure to these markets.

My wife didn’t get the memo from Amazon to wait to spend money.

Bitcoin!

Bifurcation is a better descriptor than “obfuscation”, which means to conceal.

In Chamaths view the FED should do anything that benefits him personally, else they're socialist , communist or what have you. He's a joke.

To me this is all really obvious but Chamath is one of the only people I've heard talking about it. Who else is saying this stuff? I'd like to be hanging out with those people these days.

I laugh my ass of... this is resulting in the armagedon crash of hyperinflation. 🤦‍♂️

17.5% of American children live in poverty

Oh Boy.

You and your comments aren’t good for the economy now !

You’re fucking always wrong

HAsharia DrAli_A

He is so full of it

-- Ain't that the truth. --

Thank god for that...

Another example of how the fed works only for the rich!

NASDAQ STOCK: SHIP. GOING TO .30 - .40+ in the days ahead. Short squeeze coming up.

It's ok as long as they invest in SMSI$. 🤪 chamath

Chamath always spot on

There has always been the economy and the stock market. One of first things I was told in the business in the 90s. And a good company doesnt mean its a good stock

And that is what is currently in the best interest of this countries and all investors.

Stop putting this fool on the air please 🤡🤡🤡📉📉📉

Major brain failure going to understand what the risk is of the SmallBusiness and the economy and the bondmarkets 🤔🤔 betting they are waiting another bailout from the government giving they already had a first bailout 😐😐😐😐

Unwatchable television. Complete unchallenged nonsense.

Another person plugging their brand. Ignore.

this_vid

Can we partner with you.

I think this social capital guy gets it.

In chart form. The Fed promised QE would be 'temporary' and the balance sheet would return to pre-crisis levels. Instead, the first hint of a market sell-off had the Fed blowing the money supply back up. This shouldn't surprise anyone.

.... but he will happily list another blank check company!

As if that’s a bad thing. The market was created for the rich, and no one else.

god i love watching chamath lol

it's like a guy that divorces his wife and goes Vegas on a huge bender and it doesn't stop until it's an od and the corner shows up

NBC is a co-conspirator! Cramer used to care about fundamentals!!!

I think the ramp is set for Chamath’s “jumping the shark”. If CNBC were smart they would move on.

Do not tell the President because he will end the news 'briefing' before truths slip out.

EndTheFed

The fed is throwing $ on a dumpster fire

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