‘Overnight standing repo facility’ could stop year-end rate spikes, and extend Fed’s reach
Staff at the New York Fed are working on a series of backward-looking averages
Past year has seen huge change in formation of rate expectations
David Stockton will be retiring from the FRB ths year after 30 years of service
Federal Reserve fails to announce additional quantitative easing but pledges to keep size of purchases at current levels; calls for more easing spurred by weak jobs data
The US Federal Reserve Board has cut back several of the support facilities put in place over the past 18 months, arguing the recovery of the financial markets has made them unnecessary.
The Federal Open Market Committee (FOMC) has kept its target for US interest rates at between 0-25 basis points as the Federal Reserve reiterated its commitment to use new tools to fight the worsening economic downturn.