Joellen Perry, Monica Houston-Waesch and Greg Ip have an excellent article in this morning's Wall St. Journal.
I had CNBC on in the kitchen as I was doing some other things so I didn't see who said this, but someone they interviewed reminded the viewers that this is a credit issue not an interest rate issue (or words to that effect). That is spot on. If liquidity is necessary to maintain the target, then so be it. But this is not a time for central bankers to overreact.
UPDATE: CNBC is reporting that the Fed put in $19 billion this morning.
UPDATE: Another $16 billion at 10:55 (EDT). Here is a link to the NY Fed page for temporary open market operations.
UPDATE: Another $3 billion at 1:50 (EDT).
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