NY Fed buying long and short term Treasurys to calm markets

The Federal Reserve said Thursday that it will increase its purchasing of Treasurys to try to stabilize the financial markets rattled by the coronavirus outbreak.

The reserve plans to put as much as $2 trillion into short-term lending markets to help the Treasury market and increase its buying of Treasurys to include longer-term bonds, according to the Associated Press. 

Market losses slowed after the Fed's midday announcement. 

The reserve’s actions are attempts to keep credit markets running and reassure banks that they can continue to provide loans to businesses and other borrowers, the wire service also reported.