Fed pumps $1.2tn into US economy

"The biggest surprise was the announcement that the Fed would buy up to $300bn worth of government debt, known as US Treasuries, over the next six months."

"It also said it would buy an additional $750bn of mortgage-backed securities to boost mortgage lending, bringing total purchases of this type to $1.25 trillion."

"It added that it would buy a further $100bn in debt issued by government-sponsored agencies like Freddie Mac, which supports the mortgage market."