2min chapter

Forward Guidance cover image

The European Central Bank Goes On The Offensive | Daniel Neilson (LIVE)

Forward Guidance

CHAPTER

Are Interest Rates Going Below the Reverse Repo Facility?

The overnight repo facility has gotten big but there's still money lying around and uh and it's going in various places. People have so much cash that banks have to put it in a variety of places where interest rates are lower than what you would get from the Fed which really should be the lowest. Nobody should accept lower, but there's just too much money and the Fed can't take it all.

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