Should Investors Worry about Repo Market and Buy Gold?

Should Investors Worry about Repo Market and Buy Gold?

Feb 21, 2020 | Economy, Gold

$500 billion. This is the sum the Fed has already pumped into the repo market since the crisis there started. On September 17, 2019, the secured overnight funding rate – a broad measure of the cost of borrowing cash overnight collateralized by Treasury securities,...
The Repo Crisis Shows the Damage Done by Central Bank Policies

The Repo Crisis Shows the Damage Done by Central Bank Policies

Dec 11, 2019 | News

The Federal Reserve has injected $278 billion into the securities repurchase market for the first time. Numerous justifications have been provided to explain why this has happened and, more importantly, why it lasted for various days. The first explanation was quite...
Fed Reveals When The Next Repo Crisis May Strike

Fed Reveals When The Next Repo Crisis May Strike

Nov 20, 2019 | News

As part of today’s FOMC Minutes, the Fed also released the minutes from the October 4 ad hoc unscheduled video conference during which the FOMC agreed to unexpectedly launch POMO, reversing almost two years of QT, in order to address the crisis in...