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Showing posts from November 6, 2011

SUGGESTION TO THE FEDERAL RESERVE CHAIRMAN BEN BERNANKE

SUGGESTION TO THE FEDERAL RESERVE CHAIRMAN BEN BERNANKE To:               The Right Honorable Federal Reserve Chairman Ben Bernanke From:           Athinarayanan Sanjeevraja Date:            08.11.2011 RE:               Large Scale Asset Purchase Programme (Mortgage Backed securities) Suggestion:    At least targeting the long end of the yield curve while purchasing MBS Good Morning Chairman.  Bloomberg reported that Federal Reserve plan to buy a mortgage backed securities to ail the U.S. housing market. If I am not mistaken, In late 2008, Federal Reserve intention in buying Large Scale Asset Purchases in an effort to hold down the level of long term interest rates to increase the availability of credit for businesses and households. As a result, still unemployment is very high level, corporate America earnings are still fragile. I agreed that Large scale asset Purchase improved liquidity conditions in the market, increase the turnover volume, diminis