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/biz/ - Business & Finance

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51579991 No.51579991 [Reply] [Original]

https://www.wsj.com/articles/a-day-after-fed-raises-rates-reverse-repos-hit-new-record-11663877541

>> No.51580025

>>51579991
some guys on youtube say this is the secert bailout fund. one day the fed will lower the reverse repo rate pushing all that money to somewhere else.

>> No.51580043
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51580043

>>51579991
>>51580025
and by some guy i youtube i mean uneducated economist and herasy financial

>> No.51580183

>>51580043

yes, we know
he's been saying it all year
I think he's right

>> No.51580257

>>51579991
This was basically big banks shorting treasuries. They made a fortune today.

>> No.51580416

>>51580043
>>51580183
Why would that money go from a zero risk return to the general markets where 90% of corporations are going bankrupt because they will be unprofitable. Why would the banks waste their money bailing them out?

>> No.51580473

>>51580043
please take your retarded YouTube friend simulators elsewhere, thanks

>> No.51580744

>>51580025
>>51580043
Reverse repo is the last ditch option money market funds have. Lowering the rate would achieve nothing as there is nowhere else for that money to go.

>> No.51580784

>>51580744
sounds like the monetary system is doomed then

>> No.51580787

>>51580744
Chequed

>> No.51582061

>>51580744
Actually, the discount window is really the last option for liquidity, but yeah, the repo is technically the "non-emergency" option.