The government took action Friday morning to ease a potential panic about the safety of Americans' money -- particularly the solvency of money-market mutual funds.

Americans money is safer today as government guarantees money market funds

• The Treasury Department said it will -- at least temporarily -- guarantee money market funds.
• President Bush authorized Treasury Secretary Henry Paulson to use up to $50 billion from the Exchange Stabilization Fund to provide the guarantees.
• The Federal Reserve will lend money to banks to meet demands for redemptions from money market funds. 

In conjunction with a government proposal to buy bad assets from banks and a temporary ban on short selling of financials, stocks soared early Friday in reaction.