Federal Reserve
The New York Federal Reserve branch’s Roberto Perli is manager of the Fed’s System Open Market Account SOMA). In effect, Perli manages the implementation of monetary policy.
Comments:
- Fed balance sheet drawdown has been smooth.
- Flags challenge of managing balance sheet cuts amid debt ceiling debate.
- Financial system reserves remain abundant.
- Fed’s reverse repos can likely shrink further.
- Fed may bring back early morning SRF operations at quarter-end.
- Evidence suggests the repo market is normalizing.
more to come
This article was written by Eamonn Sheridan at www.forexlive.com.
