{"id":116177,"date":"2020-11-20T06:14:00","date_gmt":"2020-11-20T03:14:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/mnuchin-pulls-plug-on-some-coronavirus-emergency-lending-programs-over-feds-objections\/"},"modified":"2020-11-20T06:14:00","modified_gmt":"2020-11-20T03:14:00","slug":"mnuchin-pulls-plug-on-some-coronavirus-emergency-lending-programs-over-feds-objections","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/mnuchin-pulls-plug-on-some-coronavirus-emergency-lending-programs-over-feds-objections\/","title":{"rendered":"#\n  Mnuchin pulls plug on some coronavirus emergency lending programs over Fed\u2019s objections"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3d8a9047e53\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3d8a9047e53\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/mnuchin-pulls-plug-on-some-coronavirus-emergency-lending-programs-over-feds-objections\/#Lending_program_for_small-and_medium-sized_businesses_wont_be_renewed\" >Lending program for small-and medium-sized businesses won\u2019t be renewed<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/mnuchin-pulls-plug-on-some-coronavirus-emergency-lending-programs-over-feds-objections\/#Secretary_of_the_Treasury_Steven_Mnuchin_left_and_Federal_Reserve_Board_Chairman_Jerome_Powell\" >Secretary of the Treasury Steven Mnuchin, left, and Federal Reserve Board Chairman Jerome Powell.<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/buradabiliyorum.com\/en\/mnuchin-pulls-plug-on-some-coronavirus-emergency-lending-programs-over-feds-objections\/#Greg_Robb\" >Greg Robb<\/a><\/li><\/ul><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong>#<br \/>\n  Mnuchin pulls plug on some coronavirus emergency lending programs over Fed\u2019s objections<br \/>\n<\/strong>&#8221;<\/p>\n<h2 class=\"article__subhead\" itemprop=\"alternativeHeadline\"><span class=\"ez-toc-section\" id=\"Lending_program_for_small-and_medium-sized_businesses_wont_be_renewed\"><\/span>\n  Lending program for small-and medium-sized businesses won\u2019t be renewed<br \/>\n<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><\/p>\n<div class=\"column column--full article__content\">\n<div id=\"js-article__body\" class=\"article__body article-wrap at16-col16 barrons-article-wrap\" itemprop=\"articleBody\" data-sbid=\"WP-MKTW-0000075160\">\n<div class=\"barrons-article-ad-wrapper\">\n<div data-track=\"barrons-article-ad-wrap\" class=\"barrons-article-ad sticky_item\">\n<div class=\"barrons-main-article-ad-target sticky_target body_ad\" aria-hidden=\"true\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div data-layout=\"inline\n              \" data-layout-mobile=\"\" class=\"\n        media-object\n        type-InsetMediaIllustration\n          inline\n  article__inset\n        article__inset--type-InsetMediaIllustration\n          article__inset--inline\n  \"><\/p>\n<figure class=\"\n        media-object-image\n        enlarge-image\n        renoImageFormat-\n        img-inline\n        article__inset__image\n      \" itemscope itemtype=\"http:\/\/schema.org\/ImageObject\"><\/p>\n<div style=\"padding-bottom:66.640625%;\" data-mobile-ratio=\"66.640625%\" data-layout-ratio=\"66.640625%\" data-subtype=\"\" class=\"image-container  responsive-media article__inset__image__image\">\n        <img decoding=\"async\" srcset=\"https:\/\/images.mktw.net\/im-262555?width=140&amp;size=1.5005861664712778 140w,\nhttps:\/\/images.mktw.net\/im-262555?width=540&amp;size=1.5005861664712778 540w,\nhttps:\/\/images.mktw.net\/im-262555?width=620&amp;size=1.5005861664712778 620w,\nhttps:\/\/images.mktw.net\/im-262555?width=700&amp;size=1.5005861664712778 700w,\nhttps:\/\/images.mktw.net\/im-262555?width=860&amp;size=1.5005861664712778 860w,\nhttps:\/\/images.mktw.net\/im-262555?width=1260&amp;size=1.5005861664712778 1260w\" sizes=\"(max-width: 140px) 100px,\n(max-width: 540px) 500px,\n(max-width: 620px) 580px,\n(max-width: 700px) 660px,\n(max-width: 860px) 820px,\n1260px\" src=\"https:\/\/images.mktw.net\/im-262555?width=620&amp;size=1.5005861664712778\" data-enlarge=\"https:\/\/images.mktw.net\/im-262555?width=1260&amp;size=1.5005861664712778\" alt=\"\" title=\"Secretary of the Treasury Steven Mnuchin, left, and Federal Reserve Board Chairman Jerome Powell.\"><\/div><figcaption class=\"wsj-article-caption article__inset__image__caption\" itemprop=\"caption\">\n<h4 class=\"wsj-article-caption-content\"><span class=\"ez-toc-section\" id=\"Secretary_of_the_Treasury_Steven_Mnuchin_left_and_Federal_Reserve_Board_Chairman_Jerome_Powell\"><\/span>Secretary of the Treasury Steven Mnuchin, left, and Federal Reserve Board Chairman Jerome Powell.<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<p>      <span class=\"wsj-article-credit article__inset__image__caption__credit\" itemprop=\"creator\"><br \/>\n            AFP\/Getty Images<br \/>\n          <\/span><br \/>\n  <\/figcaption><\/figure>\n<\/div>\n<p>       Treasury Secretary Steven Mnuchin on Thursday that he won\u2019t support extending several of the emergency loan programs his agency set up with the Federal Reserve that are set to expire at the end of the year.<\/p>\n<p> In a letter to the Fed, Mnuchin said the Fed\u2019s innovative lending program for small- and medum-sized businesses would not be extended. He also said he wouldn\u2019t extend the Fed\u2019s municipal lending and corporate credit loan programs.<\/p>\n<div class=\"paywall\">\n       \u201cThe Federal Reserve facilities\u2026have clearly achieved their objective,\u201d Mnuchin said. \u201cBanks have the lending capacity to meet the borrowing needs of their corporate, municipal, and nonprofit clients.\u201d <\/p>\n<p> Mnuchin also asked the Fed to return the unused funds to Treasury. \u201cThis will allow Congress to re-<a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>ropriate $455 billion,\u201d he wrote. <\/p>\n<p>In a statement, the Fed said that it opposed Mnuchin\u2019s decision. Under the law, the Treasury secretary must agree in order for the programs to continue.<\/p>\n<p>\u201cThe Federal Reserve would prefer that the full suite of emergency facilities established during the coronavirus pandemic continue to serve their important role as a backstop for our still-strained and vulnerable economy,\u201d according to a rare statement attributable to the central bank itself.<\/p>\n<p>Some prominent Republicans had argued that the Fed\u2019s lending programs  should end.<\/p>\n<p>Sen. Pat Toomey, a Republican from Pennsylvania who could become the head of the Senate Banking Committee if the GOP retains control of the upper chamber, has been calling for the programs to be wound down.<\/p>\n<p>The Fed programs lend money on easy terms and are designed to make sure that financing continues to flow through the economy. Economists have learned that credit flows are a lifeline for the economy \u2014 if they are blocked then great damage will follow as businesses shut and jobs are lost.<\/p>\n<div id=\"cx-membership-tile\"><\/div>\n<p>The Fed\u2019s Main Street program was designed to get funds to businesses that couldn\u2019t borrow. It was an experimental program and went through some difficulties getting off the ground, but Fed officials had hoped it might become useful down the road.<\/p>\n<p>Dallas Fed President Rob Kaplan said earlier Thursday that he was worried the economy could sink back into a double-dip recession as the coronavirus expands at an accelerated pace across the country. In light of this forecast, Kaplan said maintaining the Fed\u2019s emergency loan programs was critical.<\/p>\n<p>St. Louis Fed President James Bullard was more sanguine about ending at least some of the programs. He said the Fed\u2019s emergency programs could easily be restarted if necessary next year.<\/p>\n<p>Fed Chairman Jerome Powell told reporters earlier this month that the Fed was just starting to talk about extending the programs. Earlier this week, he \u201cmade it pretty clear\u201d he wanted to see them continue, according to Ian Katz, a director of Capital Alpha. <\/p>\n<p>Munchin said he would continue loan programs for commercial paper and money-market mutual funds. He also backed a credit facility for primary dealers, which doesn\u2019t need Treasury funds. Another program to continue is the Paycheck Protection Program Liquidity Facility. <\/p><\/div>\n<\/div><\/div>\n<p><\/p>\n<div class=\"byline article__byline\">\n<p>      <span>By<\/span><\/p>\n<div class=\"author  hasMenu\" data-scrim='{\"type\":\"author\",\"header\":\"Greg Robb\",\"subhead\":\"The Wall Street Journal\",\"list\":[]}' itemscope itemprop=\"author\" itemtype=\"http:\/\/schema.org\/Person\">\n<h4 itemprop=\"name\"><span class=\"ez-toc-section\" id=\"Greg_Robb\"><\/span>Greg Robb<span class=\"ez-toc-section-end\"><\/span><\/h4>\n<\/p><\/div>\n<\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">News<\/a> articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/news\/\" target=\"_blank\" rel=\"noopener noreferrer\">News category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"http:\/\/www.marketwatch.com\/news\/story.asp?guid=%7B21005575-02D4-D4B5-4572-D12598E487CA%7D&#038;siteid=rss&#038;rss=1\" target=\"_blank\" rel=\"noopener noreferrer\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Mnuchin pulls plug on some coronavirus emergency lending programs over Fed\u2019s objections &#8221; Lending program for small-and medium-sized businesses won\u2019t be renewed Secretary of the Treasury Steven Mnuchin, left, and Federal Reserve Board Chairman Jerome Powell. AFP\/Getty Images Treasury Secretary Steven Mnuchin on Thursday that he won\u2019t support extending several of the emergency loan&#8230;<\/p>\n","protected":false},"author":1,"featured_media":116178,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[70897],"tags":[],"class_list":["post-116177","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/116177","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=116177"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/116177\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/116178"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=116177"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=116177"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=116177"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}