The Federal Reserve's emergency bond-buying is slated to aid tech giants, automakers, and communications firms the most.
The central bank announced in late March it would begin buying corporate debt to boost market liquidity and lift firms through the coronavirus pandemic. The Secondary Market Corporate Credit Facility began by purchasing corporate-debt exchange-traded funds on May 12 and expanded the program in mid-June to include individual bond purchases.
In an effort to closely track the corporate debt market, the Fed plans to form an index of bonds through its SMCCF purchases. The forecasted purchase activity is already looking to mimic the market's consolidation. Of the nearly 800 companies the Fed plans to buy bonds from, the top 10 beneficiaries are set to make up about 15% of the purchases.
Here are the top 10 beneficiaries of the planned buying, according to the Fed's published Broad Market Index.
I quit McKinsey after 1.5 years. I was making over $200k but my mental health was shattered.
Some Tesla factory workers realized they were laid off when security scanned their badges and sent them back on shuttles, sources say
I tutor the children of some of Dubai's richest people. One of them paid me $3,000 to do his homework.
Why are so many elite coaches moving to Western countries?
Global GDP to face a 19% decline by 2050 due to climate change, study projects
5 things to keep in mind before taking a personal loan
Next Story