Schizo Fed Reverses Course Again REVISED – WSE Pro

The Fed dropped another bomb by withdrawing $19.50 billion on Thursday after 4 days of massive liquidity injections. Meanwhile, FCBs are still buying, according to the latest data from the Fed this evening, and the Treasury announced a huge debt paydown next week. Click here to download complete report in pdf format (Professional Edition Subscribers). Try the Professional Edition risk free for thirty days. If, within that time you don’t find the information useful, I will give you a full refund. It’s that simple. Click here for more information.

Note: This is a revised report from the version initially posted this evening, which erroneously referred to the Fed Funds target as being 3.25, when the correct figure was 3.0. This required some change in verbiage in a few portions of the report and a slightly different nuance to the interpretation of today’s OMO data. I regret any confusion and inconvenience this has caused.

This entry was posted on January 31, 2008 at 7:22 pm and is filed under Money and The Fed, Professional Edition. You can follow any responses to this entry through the RSS 2.0 feed.