skip to main content
Briefing

United States: Monetary Policy

Critical Issues

Background:

The Fed has significantly broadened its policy making repertoire during the financial crisis and ensuing economic recession. After slashing the policy rates to nearly zero, the Fed turned to more unconventional policy measures such as directly purchasing asset-backed securities and Treasury bonds with the aim of lowering long-term interest rates. The Fed's balance sheet has expanded in size and deteriorated in quality, raising concerns about the difficulty of rolling back the Fed's monetary easing.

Access to this content is restricted to RGE clients.

If you have a client code, please enter it here to activate your client account.

Click here for a free trial.

Learn About Our Services:

RGE Research

Our dynamic and intuitive research platform keeps you on top of the extraordinary shifts that transform our global economy, allowing users to uncover unique connections and insights. Discover the resource central banks and that 70% of the world's leading hedge funds, asset managers, PE firms, banks and corporations around the world depend on.

RGE Direct Access (includes RGE Research)

Sometimes, reading research is not enough. Many RGE clients participate at the Roubini Direct Access level to gain a deeper understanding of specific issues. Through interactive live sessions, we engage with world-class thinkers, encourage knowledge sharing, idea generation, risk identification and validation of client initiatives.

RGE Strategy (includes RGE Direct Access)

RGE market strategists build on the work of our macroeconomic research team, incorporating market dynamics to answer crucial questions and generate actionable investment recommendations. RGE's Market Research and Strategy team gives clients actionable insight across six key asset classes:

• Currencies • Commodities
• Credit • Equity • Rates
• Emerging Markets

Learn More »

Associated Readings

Analysis Federal Reserve Board Jun 25, 2009 Federal Reserve announces extensions of and modifications to a number of its liquidity programs Analysis Federal Reserve Board July 2009 Federal Reserve Credit and Liquidity Programs and the Balance Sheet - Report Opinions Federal Reserve Bank of Dallas Danielle DiMartino, John V. Duca and Jessica J. Renier Apr 02, 2009 Fed Confronts Financial Crisis by Expanding Its Role as Lender of Last Resort Analysis Securities Industry and Financial Markets Association 2009 Summary of the various US federal facilities Analysis Federal Reserve Board Feb 24, 2009 Fed's New Info Website: Credit and Liquidity Programs and the Balance Sheet