FED Pass

Dictionary Says

Definition of 'FED Pass'

An action taken by the Federal Reserve that looks to increase the availability of credit by moving additional reserves into the banking system. The supply of loans is increased as more funds are injected into major banks, typically allowing lenders to originate more mortgages at lower interest rates.
Investopedia Says

Investopedia explains 'FED Pass'

The FED Pass is an aspect of monetary policy that aims to affect the amount of money in circulation and increase lending. This action could be used as a method to combat economic difficulties, such as a credit crunch.

Sign Up For Term of the Day!

Try Our Stock Simulator!

Test your trading skills!

Related Definitions

  1. Credit Crunch

    An economic ...
  2. Interest Rate

    The amount ...
  3. Federal Reserve Board - FRB

    The governing ...
  4. Federal Reserve Bank

    The banks that ...
  5. Federal Reserve System - FRS

    The central bank ...
  6. Monetary Policy

    The actions of a ...
  7. Origination

    The process of ...
  8. Expansion

    The phase of the ...
  9. Demographic Dividend

    The freeing up ...
  10. Export

    A function of ...

Articles Of Interest

  1. The Currency Board: Understanding The Government's Bank

    Currency board, central bank - what's the difference? Find out more about this little-known monetary authority.
  2. The Federal Reserve

    Few organizations can move the market like the Federal Reserve. As an investor, it's important to understand exactly what the Fed does and how it influences the economy.
  3. Interest Rates And Your Bond Investments

    By understanding the factors that influence interest rates, you can learn to anticipate their movement and profit from it.
  4. How The U.S. Government Formulates Monetary Policy

    Learn about the tools the Fed uses to influence interest rates and general economic conditions.
  5. Get To Know The Major Central Banks

    The policies of these banks affect the currency market like nothing else. See what makes them tick.
  6. A Primer On Reserve Currencies

    For nearly a century, the U.S. dollar has served as the world's premier reserve currency, but the future is uncertain.
  7. Derivatives 101

    Learn how to use this type of investment as an alternative way to participate in the market.
  8. Okun's Law: Economic Growth And Unemployment

    Learn about Okun's Law, why it is important and how it stood the test of time since first being published.
  9. How Debt Limits A Country's Options

    While debt is fundamentally necessary to the operation of a national government, it can also be limiting and dangerous.
  10. The Link Between The Fed, Money, Debt And Taxes

    Assets on the Fed's balance sheet, money supply level, national debt level and economic production should be maintained in equilibrium.

comments powered by Disqus
Recommended
Loading, please wait...
Trading Center