Money and The Fed

Reports on the Fed and Treasury, primary dealers, foreign central banks, money market and mutual fund flows, and other factors that affect market liquidity

Dealers and Banks Find Loose Change In The Sofa

Unusually light Treasury supply and $225 billion in term Reverse Repos returned to the banks’ regular deposits at the Fed on January 5 resulted in too much cash meeting too little paper this week. We’ve seen how that worked out. Here’s a look ahead at supply conditions and what that implies for the markets for…