Next steps to combat credit crisis

A part of Bloomburg: Bernanke, Paulson, Trichet May Move to Unblock Bank Lending  

By Rich Miller and Craig Torres

 

 Oct. 7 (Bloomberg) -- Ben S. Bernanke and his fellow global policy makers may move to unblock markets for loans between banks and commercial paper as their next steps to combat the 14- month credit crisis.

 

In the U.S., Federal Reserve chief Bernanke yesterday signaled he's preparing measures with Treasury Secretary Henry Paulson to unfreeze markets where loans aren't secured by assets. In Europe, the biggest slide in stocks since 1987 may push governments and central banks to coordinate aid to the region's financial industry and lower interest rates.