Financial institutions borrowed $10.2 billion from the Fed's standing repo facility on Wednesday as repo rates again firmed (the 25th-75th percentile of the rate distribution printed 2-3 bps above 4.25%, which is the rate offered at the standing repo facility)
@NickTimiraos Stronger end-of-month flows. The TGA is about $110 billion above the target level of $850 billion. QT has averaged roughly $22 billion per month. So, thanks to the Trump shutdown, QT effectively will end five months earlier. ;)
@NickTimiraos So end of QT and more rate cut ?
@NickTimiraos Here’s the issue with the SRF, Nick reports it as “Financial Institutions” borrowed from the Fed. There needs to be a differentiation between Primary Dealers borrowing versus Banks borrowing. Until then, overall stigma remains.
@NickTimiraos Hmm, isn’t the Fed the cutting rates today and it will be cheaper tomorrow?What do they know
@NickTimiraos @grok is this bullish?
@NickTimiraos Welfare for Wall St and people love to bitch about SNAP.
@NickTimiraos cash.hungry If liquidity was so “abundant,” why does everyone keep hitting the snack bar? 🍽️💵
@NickTimiraos Fed cash flows always shake markets
@NickTimiraos Liquidity pumping non-stop 🚀
@NickTimiraos Respect