Banking, finance, and taxes
Former Fed Official Call Bear Stearns Deal "the worst policy mistake in a generation"
Published:
Why hold back feelings? Vincent Reinhart, former head of monetary affairs at the Federal Reserve called the deal to save Bear Strearns (BCS) by backing a sale to JP Morgan (JPM) was "the worst policy mistake in a generation," according to The Wall Street Journal.
He argued that the Fed had several other options such as taking a "tougher line" with J. P. Morgan; cultivating other suitors; selectively removing certain assets from Bear’s portfolio; or accelerating implementation of the Fed’s new offer to temporarily swap U.S. Treasury from its portfolio for Bear’s less liquid assets, the paper reported.
Douglas A. McIntyre
Take This Retirement Quiz To Get Matched With An Advisor Now (Sponsored)
Are you ready for retirement? Planning for retirement can be overwhelming, that’s why it could be a good idea to speak to a fiduciary financial advisor about your goals today.
Start by taking this retirement quiz right here from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes. Smart Asset is now matching over 50,000 people a month.
Click here now to get started.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
