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riversedge

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27. Fed announces plans to carry out repo operation for second straight day

Tue Sep 17, 2019, 05:53 PM

Sep 2019

There will be another one tonight.

Fed announces plans to carry out repo operation for second straight day

Published: Sept 17, 2019 4:52 p.m. ET

https://www.marketwatch.com/story/fed-announces-plans-to-carry-out-repo-operation-for-second-straight-day-2019-09-17-16915031?mod=us-markets

Oh

The New York Federal Reserve announced it would carry out its second overnight repurchasing operation of the week on Wednesday, after it conducted $53 billion of repos on Tuesday morning. The central bank pledged to carry out up to $75 billion of repos on Wednesday. As part of the repurchasing operations, the central bank temporarily buys Treasurys and other highly rated debt from dealers in order to inject liquidity into the system. The decision comes in the wake of a recent spike in repurchasing rates, a short-term borrowing rate utilized by hedge funds and banks. That has, in turn, pushed the fed funds rate to the top of its target range, raising concerns the U.S. central bank is losing control of its benchmark interest rate.

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A $53 billion crack just emerged in the financial markets... [View all] pbmus Sep 2019 OP

Oh shit . . . Iliyah Sep 2019 #1

We are in some deep shit... pbmus Sep 2019 #2

Destroying integrity in our government, in our markets, in our treaties, in our institutions. Midnight Writer Sep 2019 #3

Bingo.. pbmus Sep 2019 #4

Hmmmmm...and largely ignored by most people...$53 billion is a lot of money... SWBTATTReg Sep 2019 #5

Or the money press will crank up even more. KPN Sep 2019 #23

2008... czarjak Sep 2019 #6

This is exactly how it began in 2008: DetlefK Sep 2019 #7

There were plenty of warning signs in 2008 mtngirl47 Sep 2019 #14

Greenscum destroyed our financial stability UpInArms Sep 2019 #15

I dunno about that. There were lots of warnings ... KPN Sep 2019 #24

Yes, it began in spring 2008, but it still seemed to come out of nowhere. DetlefK Sep 2019 #31

That's probably because for those of us listening, KPN Sep 2019 #33

Seems so LONG ago. I actually do not recall. Thanks riversedge Sep 2019 #26

GET-OUT-OF-THE-MARKET Joe Nation Sep 2019 #8

uhh oh rurallib Sep 2019 #9

Ut Oh ! Pepsidog Sep 2019 #10

OP - Please consider an important cross-post in the DU Economy forum category n/t Backseat Driver Sep 2019 #11

This is complete bullshit leftstreet Sep 2019 #12

They who? I am really wondering? Shrike47 Sep 2019 #21

Nah, they're trying to keep the markets climbing.This is all about KPN Sep 2019 #25

The overnight rate is all about liquidity, not overall financial position Amishman Sep 2019 #32

Yep. All of the signs are there. Amimnoch Sep 2019 #13

The last rescue of this kind since 2008? That's strange. The financial markets were in freefall ffr Sep 2019 #16

oh come on. this is very temporary, very technical problem, readily fixed. unblock Sep 2019 #17

Who Determines the Overnight Borrowing Rates? MarcA Sep 2019 #18

Fed funds rate CarlitosMMT Sep 2019 #19

Thank you for explaining this. n/t MarcA Sep 2019 #20

Is this a technical fix ? uponit7771 Sep 2019 #22

Fed announces plans to carry out repo operation for second straight day riversedge Sep 2019 #27

123 billion,oh boy,this is scary. Wellstone ruled Sep 2019 #30

I'm already financially messed up. Lady Freedom Returns Sep 2019 #28

Thank you empedocles Sep 2019 #29

I listened to Delphinus Sep 2019 #34