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US To Europe: I'm Still Your Uncle Sam

With Europe unable to solve its financial crisis on its own, attention has turned abroad as bankers look to Asia and the US for help. China balked; luckily for Europe, Uncle Sam is still a reliable friend. The Federal Reserve, along with several other central banks, is stepping in to save the day.

The European Central Bank said it will be joined by the U.S. Federal Reserve, the Bank of England, the Bank of Japan and the Swiss National Bank to conduct three U.S. dollar liquidity-providing operations.

The action addresses an acute shortage of dollar availability as U.S. lenders withhold funds out of concern that the European banking system is overexposed to the region’s government-debt crisis.

The tenders appear aimed above all at ensuring that European banks keep access to dollar funding, after months in which private-sector investors have refused to roll over existing credits.

Europeans desperately need to get their act together to save the euro, the EU, and European prosperity in general. The US can’t do this for them, but what we can do, we will.

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  • Peter


    Save these freeloaders?

    Mr. Mead, the Euro should sink. It’s not a feasible construct. Fact.

    And the European Union itself is an anti-democratic fraud. Sooner or later, it will implode and lead to real trouble over there.

    I know you elites love spending American treaure and blood on your Utopian dreams. you see yourselves as citizens of the world, not the U.S.

  • Mrs. Davis

    Uncle Stupid is more like it.

  • Jacksonian Libertarian

    The EU and the Euro are going to fail, there is no fixing their problems. The US should show some leadership and focus on what comes next. The quicker it collapses and the quicker some structure is put in to replace the EU and Euro, the less the Europeans and the rest of us will suffer.

  • Charles R. Williams

    A trillion in bailouts here, a trillion there. Pretty soon your talking about real money. Seriously, the fed has to be stopped from bailing out Europe again. Our bank regulators should be pushing American banks to minimize their exposure in Europe. It should be made crystal clear that money market funds in the US will not be bailed out on their European assets.

  • vanderleun

    “… but what we can do, we will.”

    As in “We will help them kick the can down the road to the cliff and we’ll all go together when we go.”

  • Luke Lea

    Deja Vu all over again. When solvency is the issue, It is a global financial system in the last analysis. We will all go down together.

  • Jim.

    Will pumping dollars into their economies help our exports?

    Then it’s a race to see whether China beggars us before we beggar Europe…

  • Toni

    When do American and European taxpayers get to stop bailing out megabanks and megabankers who made foolish investments? Especially when they could foresee that the investments were foolish, whether home mortgages or sovereign debt the borrowers were unlikely to repay.

    Some sensible person needs to rethink this notion of “too big to fail.”

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