The Fed and Probe of Auction-Rate Debt

re: Fed's Evans Says "Three-Front Conflict" Complicates Monetary Policy

Our country needs to go through "Long and Hard Recession" (repenting period)!!! Since 1969, our nation is like Sodom and Gomorrah as the country was going down the corruption, morally and spiritually, as well as our wealth was starting to deteriorate. We need to revitalize our moral and ethical standards as well as our economy by going through very serious rethinking the way we live.



Probe of Auction-Rate Debt Is Far From Over: Cuomo
http://www.cnbc.com/id/26203569/

New York Attorney General Andrew Cuomo told CNBC that his investigation into auction-rate securities sold by banks and brokerages is far from over.

"You have literally dozens of institutions involved," Cumo said in a live interview. "We're starting at the top and working our way down."

Cuomo's comments came after announcing earlier Thursday a settlement with two big brokerages, PMorgan Chase and Morgan Stanley , which agreed to repurchase a combined $7 billion in auction-rate securities at face value from investors.

That followed similar settlements last week by Citigroup and Swiss Bank UBS .

Auction-rate securities are investments that resemble corporate debt, but with interest rates reset at regular auctions. The market for the securities collapsed in February amid deterioration in the broader credit markets.