| 2019-10-11 11:15:02|
11:15 10/11 10/11/19
Fed announced it will begin to purchase Treasury bills
Fed announced it will begin to purchase Treasury bills Tuesday (Monday is a holiday in the Treasury market) to help with reserve management operations. These purchases will extend into Q2 of 2020. The Fed also announced that it will continue to conduct overnight repos at least through January, again to mitigate risks of pressures in the money markets. Bill rate dropped the other day when Chair Powell first indicated T-bill purchases were in the works, but further downside today on confirmation is being stymied by the updraft in yields as risk appetite gains.