Monday, December 15, 2008

AIG sells RMBS to FED

by Bill McBride on 12/15/2008 06:15:00 PM

Cartoon Eric G. LewisFirst another great cartoon!

Click on cartoon for larger image in new window.

Cartoon from Eric G. Lewis


From Bloomberg: AIG Sells Mortgage-Backed Securities to Fed Vehicle
American International Group Inc. ... sold residential mortgage-backed securities with a face value of $39.3 billion to a facility funded by the Federal Reserve.

AIG will receive about $19.8 billion for the assets ...
Without some details, it is impossible to know if half off is a good price for the Fed.

Also, check out Eric's earlier cartoon on Bernanke and quantitative easing.