Fed to sell off assets from an emergency loan program
WASHINGTON (AP) — The Federal Reserve said Wednesday that it will start selling off the holdings of one of its…
WASHINGTON (AP) — The Federal Reserve said Wednesday that it will start selling off the holdings of one of its emergency lending programs created last year to stabilize financial markets at the height of the pandemic crisis.
The Fed will begin winding down the portfolio of the Secondary Corporate Credit Facility, which at the close of last year held $14.2 billion in assets.
The asset sales from the facility will be “gradual and orderly and will aim to minimize the potential for any adverse impact on market functioning,” the Fed said.
The corporate facility was one of a number of emergency lending facilities closed on Dec. 31 in a decision by then-Treasury Secretary Steven Mnuchin.
That action drew criticism from Democratic lawmakers who…