Financial Times FT.com

Overview: Toxic asset scheme triggers sell-off

By Dave Shellock

Published: February 10 2009 19:38 | Last updated: February 10 2009 22:28

Nervous investors sold equities and shifted to the perceived safety of government bonds and gold on Tuesday as Tim Geithner, US Treasury secretary, unveiled re-vamped plans to stabilise the banking system.

Mr Geithner said a public-private fund would be established to buy an initial $500bn of distressed assets from banks’ balance sheets, while up to $1,000bn would be committed to a Federal Reserve lending programme.

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