Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: Bucky Katt who wrote (67937)	8/22/2007 5:45:59 PM
From: mishedlo	Read Replies (3) \| Respond to of 116555

Brave Face Masks Bold Lie globaleconomicanalysis.blogspot.com 4 Major banks borrowed money at the discount rate supposedly to "restore liquidity". How does one restore liquidity by borrowing money that is not needed? Citigroup said the request was on behalf of clients. But why borrow money at 5.75% when you can get the money at 4.5%. Basically this is a PR move by Fed to hide the fact that someone is in trouble and/or a huge concern that demand for credit (or willingness to extend it) has basically dried up, thus the need to "encourage" borrowing. Mish