The U.S. Fed rewarded $169.62 billion of one-day fixed-rate reverse repurchase agreements to 55 bidders at an interest rate of 0.25%, the New York Fed said on its website.
The reverse repurchase agreement program is seen as a critical policy tool for the Fed to drain money from the financial system in an effort to achieve its interest rate objectives.
The Fed allotted $199.67 billion on Monday in one-day reverse repos to 66 bidders, including Wall Street dealers, money market mutual funds and mortgage finance agencies, also at an interest rate of 0.25%
The material has been provided by InstaForex Company – www.instaforex.com