Interbank lending, stimulus provide hope in crisis (Bernanke warm to a 2nd stimulus wave of checks)

Posted by admin / Under Interbank Market

NEW YORK (Reuters) – Interbank lending emerged from deep freeze and Fed chairman Ben Bernanke gave his blessing to a second U.S. government stimulus package on Monday, providing hope the world's financial crisis may be easing. The three-month Libor rate fell more than one-third of a percentage point, its biggest one-day drop in nine months in one sign that banks may have the confidence to lend to each other again, crucial to reactivating the world economy. The chairman of the U.S. Federal Reserve told Congress on Monday that another wave of government spending may be needed as the economy limps...

Published on Friday 10th of February 2012 05:18:19 AM

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