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Finance Committee Agenda and Packet 2020 09 15
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Finance Committee Agenda and Packet 2020 09 15
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9/14/2020 12:32:19 PM
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9/14/2020 10:48:59 AM
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City Council Records
Meeting Date
9/15/2020
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Boards Commissions Committees Records
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IUnprecedented Fed Intervention <br />• Cut fed funds target rate by 1.50°% to 0.00-0.25°% <br />Rate Cuts Discount window rate lowered to 0.25% <br />• Fractional reserve requirement 0% <br />• Interest on Excess Reserves cut to 0.10% <br />TSY/Agency MBS Purchases Purchases in the amounts needed to ensure smooth market functioning <br />Repo Operations $1.5 trillion+ short-term repo facilities to provide liquidity <br />Commercial Paper Funding Facility (CPFF) Purchases of Tier 1 CP* <br />Primary Dealer Credit Facility (PDCF) Loans to Primary Dealers up to 3 months <br />Money Market Mutual Fund Liquidity Liquidity to MMFs in form of loans to banks to purchase assets from MMFs <br />Facility (MMLF) • <br />FX Swap Lines Temporary lending to boost circulation of dollars worldwide <br />Primary Market Corporate Credit Facility Purchases of investment grade corporate debt directly from issuers** <br />(PMCCF) <br />Secondary Market Corporate Credit Facility 0 Purchases of investment grade debt and ETFs (IG and HY) in the secondary <br />(SMCCF) market <br />Term ABS Loan Facility (TALF) Loans to investors to buy highest -rated ABS, CMBS and CLOs to support <br />consumer and business credit <br />Municipal Liquidity Facility Up to $500 billion in lending to states and municipalities via debt security <br />purchases from states, counties, and cities <br />Main Street Lending Program 0 Up to $600 billion in loan purchases from small- and mid -sized businesses <br />Paycheck Protection Program Liquidity Liquidity to participating financial institutions through term financing backed by <br />Facility (PPP) PPP loans to small businesses <br />*CP issuers that were Tier 1 as of March 17, 2020 and were subsequently downgraded to no lower than Tier 2 may be eligible on a one-time basis. **Issuers that were rated at least Bao3/BBB- as of March 2Z 2020 and <br />were subsequently downgraded to no lower than Ba3/BB- may be eligible. <br />Source: US Federal Reserve QVI <br />
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