• Latest
  • Trending
  • All
The Fed has changed the terms of its Main Street lending program to allow for greater participation.

Fed expands Main Street program to allow for both smaller and bigger loans

June 8, 2020 06:47
Equities struggle amid economic and China-related concerns

Equities struggle amid economic and China-related concerns

December 29, 2022 08:55
Dollar lacks upside momentum due to lower Treasury yields

Currencies stuck in ranges as New Year holiday looms

December 28, 2022 07:01
Stocks gain, dollar eases ahead of job market data

Dollar pressured by positive risk sentiment in thin markets

December 27, 2022 04:50
Dollar lacks upside momentum due to lower Treasury yields

Dollar tries to shrug off the pressure

December 26, 2022 05:13
Investors spooked by strong US data

Investors spooked by strong US data

December 23, 2022 11:55
Dollar lacks upside momentum due to lower Treasury yields

Dollar back under pressure after short-lived relief

December 22, 2022 05:17
Risk demand reemerges cautiously, but caution remains in place

Risk demand reemerges cautiously, but caution remains in place

December 21, 2022 08:49
Dollar lacks upside momentum due to lower Treasury yields

US dollar resists selling pressure

December 20, 2022 10:44
Market sentiment dented by recession fears

Market sentiment dented by recession fears

December 19, 2022 02:53
Dollar lacks upside momentum due to lower Treasury yields

Greenback stays on the defensive nearly across the board

November 16, 2022 05:34
Investor sentiment improves, but gains limited

Investor sentiment improves, but gains limited

November 15, 2022 05:46
Dollar lacks upside momentum due to lower Treasury yields

Dollar licks wounds after plunge

November 14, 2022 05:05
  • Terms & Сonditions
  • Contact
Tuesday, March 28, 2023
FWNews - pulse of the forex market
  • FUNDAMENTALS
    Equities struggle amid economic and China-related concerns

    Equities struggle amid economic and China-related concerns

    Stocks gain, dollar eases ahead of job market data

    Dollar pressured by positive risk sentiment in thin markets

    Investors spooked by strong US data

    Investors spooked by strong US data

    Risk demand reemerges cautiously, but caution remains in place

    Risk demand reemerges cautiously, but caution remains in place

    Market sentiment dented by recession fears

    Market sentiment dented by recession fears

    Investor sentiment improves, but gains limited

    Investor sentiment improves, but gains limited

    Risk sentiment keeps deteriorating, dollar climbs

    Stocks celebrate US inflation, dollar slumps

    Virus, US-China tensions hit global markets

    Market sentiment turns cautious amid events in the US

    Investors look indecisive ahead of another volatile week

    Investors look indecisive ahead of another volatile week

  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage
No Result
View All Result
FWNews - pulse of the forex market
  • FUNDAMENTALS
    Equities struggle amid economic and China-related concerns

    Equities struggle amid economic and China-related concerns

    Stocks gain, dollar eases ahead of job market data

    Dollar pressured by positive risk sentiment in thin markets

    Investors spooked by strong US data

    Investors spooked by strong US data

    Risk demand reemerges cautiously, but caution remains in place

    Risk demand reemerges cautiously, but caution remains in place

    Market sentiment dented by recession fears

    Market sentiment dented by recession fears

    Investor sentiment improves, but gains limited

    Investor sentiment improves, but gains limited

    Risk sentiment keeps deteriorating, dollar climbs

    Stocks celebrate US inflation, dollar slumps

    Virus, US-China tensions hit global markets

    Market sentiment turns cautious amid events in the US

    Investors look indecisive ahead of another volatile week

    Investors look indecisive ahead of another volatile week

  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage
No Result
View All Result
FWNews - pulse of the forex market
No Result
View All Result

Home » Fed expands Main Street program to allow for both smaller and bigger loans

Fed expands Main Street program to allow for both smaller and bigger loans

The Fed has changed the terms of its Main Street lending program to allow for greater participation.

by FWNews
June 8, 2020 06:47
in News
0
The Fed has changed the terms of its Main Street lending program to allow for greater participation.

As the Federal Reserve prepares to start up its Main Street lending program, it has changed the terms to allow for greater participation.

The central bank said Monday that it is lowering the initially stated minimum loan and raising the maximum that can be borrowed, plus is expanding the loan terms to five years. The program is part of the Fed’s efforts to get money to small- and medium-sized businesses hurt during the coronavirus-induced recession.

Under the new guidelines, the minimum loan now will be $250,000, half the amount under previous versions of the plan. The maximum will now vary by facility but could be up to $300 million from the previous $200 million.

Fed Chairman Jerome Powell recently said the program was “days away” from making its first loan and said the central bank was revamping provisions based on feedback received from thousands of sources.

“Supporting small and mid-sized businesses so they are ready to reopen and rehire workers will help foster a broad-based economic recovery,” Powell said in Monday’s announcement. “I am confident the changes we are making will improve the ability of the Main Street Lending Program to support employment during this difficult period.”

In addition to the changes in loan size, the Fed also has extended the repayment period from four years to five years and will delay the repayment period to two years from the original one year. Interest also is delayed for one year and will be Libor, a commonly used overnight lending rate, plus 3%.

Lenders will now assume just 5% of the loans, with the Fed holding the rest.

The program is part of close to a dozen measures the central bank has taken to boost lending and liquidity during the coronavirus crisis. Powell has repeatedly stressed that the Fed has “lending but not spending” powers. Main Street and other similar programs are being backstopped by Treasury money that the Fed can leverage up. In this case, the Treasury is providing $75 billion in equity that can be used for $600 billion in lending.

Tags: Federal ReserveJerome Powell
Share2Tweet2
ADVERTISEMENT
FWNews

FWNews

Track the pulse of the market

Related Posts

Investors spooked by strong US data
Fundamental analysis

Investors spooked by strong US data

December 23, 2022 11:55
11
Risk sentiment keeps deteriorating, dollar climbs
Fundamental analysis

Stocks celebrate US inflation, dollar slumps

November 11, 2022 03:07
17
Markets shrug off rising US inflation
Fundamental analysis

Global markets pressured by Fed’s hawkishness

November 3, 2022 03:41
21
Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Currencies little changed ahead of FOMC announcement

November 2, 2022 03:05
18
Dollar lacks upside momentum due to lower Treasury yields
Technical analysis

Dollar trades sideways to start the week

October 31, 2022 03:50
19
Yellen failed to spook global markets
Fundamental analysis

Rate hike fears continue to dominate global markets

October 20, 2022 03:18
19

Leave Your Opinion Cancel reply

Your email address will not be published. Required fields are marked *

Recommended

Dollar lacks upside momentum due to lower Treasury yields

Greenback off highs amid profit-taking

April 14, 2022 05:56
18
Dollar lacks upside momentum due to lower Treasury yields

Dollar on the defensive amid better risk tones

March 16, 2022 07:07
20
Pound corrects higher due to dollar weakness

Dollar is back on the offensive across the board

October 18, 2021 10:29
14

Ads

Shneider Electric

Most Popular

A slow start to the week in FX markets
Technical analysis

Dollar regains ground to start the week

January 25, 2021 07:25
118
A slow start to the week in FX markets
Technical analysis

Greenback advances modestly amid strong data

May 28, 2021 07:38
110
Kim Jong Un reportedly says his nuclear weapons guarantee there will be no more war
News

Kim Jong Un reportedly says his nuclear weapons guarantee there will be no more war

July 28, 2020 08:29
95
FWNews

Copyright © 2022 FWNews

  • Terms & Сonditions
  • Contact
No Result
View All Result
  • FUNDAMENTALS
  • TECHNICALS
  • Interest Rates
  • Economic calendar
  • Backstage

Copyright © 2022 FWNews