Borrowing From China to Pay Europe

European banks took big slice of Fed aid

Foreign banks were among the biggest beneficiaries of the $3,300bn in emergency credit provided by the Federal Reserve during the crisis, according to new data on the extraordinary efforts of the US authorities to save the global financial system.

"We're talking about huge sums of money going to bail out large foreign banks," said Bernie Sanders, the independent senator from Vermont. "Has the Federal Reserve of the United States become the central bank of the world?"