Federal Reserve launches corporate bond-buying program

WASHINGTON (AP) — The Federal Reserve said Monday that it will being purchasing corporate bonds as part of a previously-announced program to ensure companies companies can borrow through the bond market during the pandemic.

The Federal Reserve said Monday that it will begin purchasing corporate bonds as part of a previously-announced program to ensure companies can borrow through the bond market during the pandemic. The program will purchase already-issued bonds on the open market and will seek to build a “broad and diversified” portfolio that will mimic a bond-market index.

The bonds will have to be from highly-rated, investment-grade companies, or firms that fit that description before the viral outbreak struck.

Categories: Coronavirus, National News

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