The Fed on June 24 said "the pace of economic contraction is slowing."

The Fed on Aug. 12 said "economic activity is leveling out."

The Fed on Wednesday said "economic activity has picked up following its severe downturn."

The Fed on June 24 said conditions in financial markets had "generally improved in recent months."

The Fed on Aug. 12 said conditions "have improved further in recent weeks."

The Fed on Wednesday said conditions "have improved further, and activity in the housing sector has increased."

The Fed on June 24 said businesses "appear to be making progress in bringing inventory stocks into better alignment with sales."

The Fed on Aug. 12 said businesses "are making progress."

The Fed on Wednesday said businesses "are still cutting back on fixed investment and staffing, though at a slower pace; they continue to make progress in bringing inventory stocks into better alignment with sales."

The Fed on both June 24 and Aug. 12 said it will buy up to $1.25 trillion of mortgage-backed securities and up to $200 billion of debt "by the end of the year," from Fannie Mae, Freddie Mac and Ginnie Mae, which finance most new home loans. The purchases are intended to back mortgage lending and housing and credit markets.

The Fed on Wednesday said it "will gradually slow the pace of these purchases in order to promote a smooth transition in markets and anticipates that they will be executed by the end of the first quarter of 2010."

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