What the bears on the Street won’t mention: banks borrow $50 bil from Fed

That’s $50 billion with a “b” of money banks have borrowed from the Federal Reserve’s Term Auction Facility. Besides the basic fact that borrowing of that much money should underscore the fact that our economy isn’t close to level, many economists say both the opaqueness and indirectness of borrowing from the new TAF should raise concerns.

Maybe hackles, instead.

The collateral requirements are so low as to show this is clearly part of the latest Fed bubble-building effort.