What will Fed buying look like?

Quote from scriabinop23:

I read news everyday lately of this stimulus getting whittled down by congress (who collectively never went to macroeconomics class), and am ultimately disappointed by the lack of leadership out of the Obama administration to get anything done effectively ... Then I sigh and say to myself: 'Well at least the Fed can push policy through without the congressional red tape'..

If the Fed loses the ability to move flexibly without their hands tied, we are all in big trouble.

Let me say this: Would you trust your money supply to the same people who collectively agree with and write, pass rules like 'Buy American' ?

I mean, lots of complaints about the Fed are justified, but I don't think even the most die-hard small-govt free market advocate would be able to justify this logic. 'Buy American' is just as revelatory of policymaker stupidity/ignorance/corruption as support for corn ethanol subsidies/mandates. It reveals total lack of understanding as such concepts of comparative advantage ... econ 101.

Its a joke that 'buy american' is in a stimulus bill. Buy american is absolutely anti-stimulus... They might as well burn the 800B right after they borrow or print it. There are better strategic ways to address our qualms with China - ways that won't continue to brake the global economy.

I'm happy at least the Fed on some level is a meritocracy... Its better than other 3 branches of govt.
More...
Agreed, the one thing that people seem to happily disregard is that the politicians' incentives are even more mis-aligned than those of a worst bankster out there, so to entrust economic policy to them is suicide. However, it's the new reality.

And someone mentioned the independence of the Fed. We're so far beyond such trivial details as the independence of the CB, we might as well forget it. This is the brave new world.
 
I guess this is what Fed buying will look like :D



http://www.newyorkfed.org/markets/pomo/display/index.cfm?showmore=1&opertype=orig



Operation 1 - RESULTS

Operation Date:03/25/2009

Operation Type:Outright Coupon Purchase

Release Time: 10:30 AM

Close Time:11:00 AM

Settlement Date:03/26/2009
Maturity/Call Date Range: 02/29/2016 - 02/15/2019

Total Par Amt Accepted (mlns) : $7,500
Total Par Amt Submitted (mlns) : $21,937




CUSIP ID Security Description Par Amt Accepted ($)
912828KS8 T 02.625 02/29/16 2,836,000,000
912810DW5 T 07.250 05/15/16 115,000,000
912828FQ8 T 04.875 08/15/16 1,031,000,000
912828FY1 T 04.625 11/15/16 739,000,000
912810DX3 T 07.500 11/15/16 147,000,000
912828GH7 T 04.625 02/15/17 35,000,000
912828GS3 T 04.500 05/15/17 950,000,000
912810DY1 T 08.750 05/15/17 238,000,000
912828HA1 T 04.750 08/15/17 702,000,000
912810DZ8 T 08.875 08/15/17 159,000,000
912828HH6 T 04.250 11/15/17 0
912828HR4 T 03.500 02/15/18 0
912828HZ6 T 03.875 05/15/18 0
912810EA2 T 09.125 05/15/18 23,000,000
912828JH4 T 04.000 08/15/18 0
912828JR2 T 03.750 11/15/18 0
912810EB0 T 09.000 11/15/18 193,000,000
912828KD1 T 02.750 02/15/19 0
912810EC8 T 08.875 02/15/19 332,000,000



Exclusions:
CUSIP ID Security Description
912828FF2 T 05.125 05/15/16
 
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