The Federal Reserve's decision to buy commercial paper could help
businesses meet short term cash flow needs, but investors still remain
skeptical.

For the average American, the importance of the Fed's decision to start
buying commercial paper hits home more than it may seem at first glance.

Many investors have long kept money in money market accounts. Those
accounts often make money by investing in what's called commercial paper. But
with the credit crisis, they've stopped buying commercial paper. So businesses
that use commercial paper for day to day operations haven't been able to get
money -- putting a chokehold on their businesses.

Now the Federal Reserve is creating a special purpose facility- with the
hopes of unlocking that credit. That would in turn give money markets more
confidence to go back to buying commercial paper--boosting confidence and
stability in them- and the businesses that depend on them.

Economist Maria Fiorini Ramirez:
Maria Fiorini Ramirez, Chief Economist, MFR Inc., saying:
"What consumers need to understand is that the companies that
really had difficulties maybe even meeting payrolls in the weeks to come at
least now they have a window at the Fed where the Fed will buy their
commercial paper and make cash available to them."

While initial market reaction was positive, and despite hints of a Fed rate
cut, the markets turned south.

Maria Fiorini Ramirez, Chief Economist, MFR Inc., saying:
"I think what's mostly driving the stock market now is fears of the
unknown and fears of a global recession.".

Officials say the new facility would be up and running soon-- but probably
not in a matter of days. The size has yet to be determined.

Bobbi Rebell, Reuters, New York.