Economist Online
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Wednesday, October 22, 2008

Ever expanding Fed balance sheet

Fed balance sheet has "exploded" literally, adding another $300 billion from my last update.

Two comments: 
1) The Fed either kill lending freeze very quickly by this massive injection of liquidity;
or
2) Fed got the wrong diagnosis and used wrong tools, and it won't save the economy and US dollar are going to have big trouble down the road.