HomeFinancial MarketsFed Emergency Lending Rises Over Past Week

Fed Emergency Lending Rises Over Past Week

Federal Reserve emergency lending to banks increased over the past week in the wake of the financial sector’s instability over the past month.

Data released by the Federal Reserve on Thursday show that borrowing via three programs designed to support banks hit $316.5 billion as of Wednesday, up from $312 billion on April 12.

While the sum of emergency loans continues to be comparatively steep, the rate of lending has been slowing since borrowing hit its peak of $343.7 billion on March 22, following the collapse of several major banks including the U.S.-based Silicon Valley Bank and Signature bank as well as Credit Suisee.

The Fed’s Bank Term Funding Program, established last month to assist the banking sector in the wake of last month’s crisis, rose to $74 million on Wednesday from $71.8 billion the week before. Via its discount window lending facility, the Federal Reserve extended $69.9 billion as of Wednesday, up from $67.6 billion on April 12.

In contrast, the Fed’s repo facility available to foreign central banks declined from $30 billion on April 12 to $20 billion on Wednesday, while its “other credit” tied to the Federal Deposit Insurance Corporation efforts to wind down failed banks remained steady at a figure of $172.6 billion

BofA Predicts Continued Stock Rally in 2025, Sets 6,666 Target for S&P 500

The U.S. stocks will continue to rally in the 2025 according to a research note shared by Bank of America on Monday. BofA's equity and...

Intel Stock Jumps After CEO Pat Gelsinger’s Retirement

Struggling semiconductor manufacturer Intel announced on Monday that its CEO Pat Gelsinger is retiring with an immediate effect. The news was well-received among investors,...

TSMC Founder Reveals He Tried to Hire Nvidia’s Jensen Huang in 2013

Taiwan Semiconductor Manufacturing Company (TSMC) founder Morris Chang revealed in his recently published biography that he attempted to recruit Nvidia’s founder and CEO Jensen...