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A major source of liquidity for buying U.S. government debt is draining. Here's why that's bad news for the Fed and the market

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marketwatch.com/story/a-major-source-of-liquidity-for-buying-u-s-government-debt-is-draining-heres-why-thats-bad-news-for-the-fed-and-the-markets-8760cb7a

A Federal Reserve repo facility is back in focus as a gauge of liquidity as U.S. stocks stumble and investors brace for another barrage of Treasury borrowing to fund the U.S. government’s large budget deficit.
Funds parked by institutional investors short-term at the New York Fed’s overnight reverse repo facility have dropped to $1.1 trillion from a peak of about $2.5…

This story from marketwatch.com was posted on 2023-10-27 by @arcticc.

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