KBJ, this was discussed on the RE thread late last year, and is definitely an event of note.
My take is that it is not so much a bailout buffer as the article describes, but more a deliberate move by RBA into the securitised debt space, specifically the RMBS market, a'la the US FED. (We don't have Freddys or Fannys or Ginnys.)
This is unprecedented in Aust, the Treasury has been meddling in the RMBS market for some years, but not the RBA.
It's being dressed up as transitional support for Basel III compliance. yeah, BS.
Make no mistake, this CLF, Collateralised Loan Facility, is no more than another Central Bank plugging holes in the still defunct derivaties market. Pure and simple.
