Wednesday, June 29, 2011

Global central banks keep dollar-swap lines open

The Federal Reserve, the European Central Bank and other key central banks announced Wednesday they have extended existing dollar-lending arrangements for another year.
Under the swaps program, the Fed swaps dollars for euros, yen, pounds, Swiss francs or Canadian dollars to give five foreign central banks access to U.S. dollars demanded by banks in their countries.
At maturity, the dollars will be returned, with interest. -MarketWatch

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