Busy Day At The Federal Reserve: $140 Billion In Repo Requests

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Requests for additional liquidity from the New York Federal Reserve this morning were $140 billion. In three separate repo operations, in which the Fed lends out money on a short-term basis in exchange for collateral, the NY Fed saw requests for around $140 billion dollars from financial institutions. In addition, the Fed is conducting $25 billion auction under it's new term lending facility, which provides banks with longer term credit.
Although the NY Fed lent out only around $21 billion in its repo operations. More than $31 billion of the funds requested today were to be backed by mortgage-backed securities. The Ny Fed repo'd only about $53 million. The largest requests came for the Fed's 14 day repo operation, the longest conducted today.
Earlier this week, the NY Fed saw $64 billion in mortgage backed repo submissions. It accepted $20 billion of those for a term of 28 days. Requests at the Federal Reserves repo window were $145.4 billion last Thursday, $133.5 billion the week prior. Going back each prior Thursday, borrowings were $138.4 billion, $138.3 billion and $185.9 billion.
[Editor's Note: An earlier version of this post was based on a corrupted data set that incorrectly suggested a dramatic increase in borrowing from the Fed. We apologize for the error and blame our terrible Excel skills.]

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