Post by Origanalist on Mar 20, 2020 18:35:15 GMT -8
Fed Expands Repo to $1 Trillion Per Day to Avert Liquidity Crunch
The Federal Reserve has expanded its short-term lending program, known as repo, to $1 trillion, and extended it by a month.
The Federal Reserve Bank of New York said in a statement that it will supply the funds in two $500 billion operations—one in the morning and one in the afternoon—each business day, until April 13.
While bank demand for repo funding has been low and stable this week, the Fed’s decision signals it stands ready to provide liquidity to keep markets from seizing up amid the COVID-19 crisis.
www.theepochtimes.com/fed-expands-repo-to-1-trillion-per-day-to-avert-liquidity-crunch_3280317.html
The Federal Reserve has expanded its short-term lending program, known as repo, to $1 trillion, and extended it by a month.
The Federal Reserve Bank of New York said in a statement that it will supply the funds in two $500 billion operations—one in the morning and one in the afternoon—each business day, until April 13.
While bank demand for repo funding has been low and stable this week, the Fed’s decision signals it stands ready to provide liquidity to keep markets from seizing up amid the COVID-19 crisis.
www.theepochtimes.com/fed-expands-repo-to-1-trillion-per-day-to-avert-liquidity-crunch_3280317.html
