Acknowledging the industry's continued need for liquidity, the Federal Reserve Board said Tuesday that it will extend five support programs to Oct. 30.
The programs – the Asset Backed Commercial Paper Money Market Mutual Fund Liquidity Facility, the Commercial Paper Funding Facility, the Money Market Investor Funding Facility, the Primary Dealer Credit Facility and the Term Securities Lending Facility – were slated to end on April 30.
The Fed has frequently extended the sunset of these programs as the financial crisis continues to play out. The last postponement was announced in December.
The Term Asset-Backed Securities Loan Facility, which is scheduled to launch this month to support asset-backed securities, remains on track to expire on Dec. 31. Other liquidity programs, such as the Fed's cash auctions, do not have a sunset date.