ECB gets lending hand by FED - FX swaps hit $500 million

European banking crisis is still an issue ECB policy makers need to address, yesterday the Federal Reserve said that it provided $500 million of Liquidity Liquidity The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent The term liquidity refers to the process, speed, and ease of which a given asset or security can be converted into cash. Notably, liquidity surmises a retention in market price, with the most liquid assets representing cash.The most liquid asset of all is cash itself.· In economics, liquidity is defined by how efficiently and quickly an asset can be converted into usable cash without materially affecting its market price. · Nothing is more liquid than cash, while other assets represent Read this Term to the European Central Bank in the latest week via its swap lines for foreign central banks.

It was the first time the ECB had tapped the swap lines since the week ended March 2 when it swapped $70 million.

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