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A comment on NY Fed rescues overnight lending market with $53B. Parent comment

Re:NY Fed rescues overnight lending market with $53B by zenmaster10665 on Tuesday September 17, 2019 @06:03PM (#21000547)
This isn't a bailout. The Fed is there for this specific reason, to ensure the market functions smoothly. The money injected into the repo market ensured that things ran smoothly. I would think they would simply unwind the repo positions as normal when the forcing factors on the market resolve... With no money lost or won...

Think of it as lubrication for a system that is a bit squeaky in some places.

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Re:NY Fed rescues overnight lending market with $53B by pishpash on Wednesday September 18, 2019 @04:40AM (#21003392)
Just like QE was to be unwound. How's that going?

You should be asking what the steady state looks like.

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Re:NY Fed rescues overnight lending market with $53B by navigatesol on Wednesday September 18, 2019 @01:37PM (#21007830)
Why shouldn't the balance sheet permanently increase along with the size of income?
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