Fed Floods Bank System with Cash to Avoid Crisis The Federal Reserve has moved to calm market jitters by pumping additional cash into the banking system. Altogether, the Fed made some $35 billion available at low interest rates in order to ease the strain of a growing credit crisis.
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Fed Floods Bank System with Cash to Avoid Crisis

Fed Floods Bank System with Cash to Avoid Crisis

Hear NPR's Jim Zarroli

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  • <iframe src="https://www.npr.org/player/embed/12692597/12692598" width="100%" height="290" frameborder="0" scrolling="no" title="NPR embedded audio player">
  • Transcript

The Federal Reserve has moved to calm market jitters by pumping additional cash into the banking system.

In a statement, the Fed said it is "providing liquidity to facilitate the orderly functioning of financial markets."

Altogether, the Fed made some $35 billion available at low interest rates in order to ease the strain of a growing credit crisis.