[Sterilised QE] The repo factor
First off, is sterilisation in the US even new?As we’ve discussed before, the Fed’s interest on excess reserves (IOER) policy can and has been construed by many as...
The case for ECB debt certificates
How much will be tapped at this month’s ECB three-year LTRO operation?Estimates are increasingly being revised lower.One reason is that there are plenty of indicators...
Raisin’ Repo
(Chart via RBC.)There’s a normal seasonal rise in Treasury bill supply at this time of year, usually lasting through to about April, but it typically doesn’t produce...
European repo has been contained!
From Icap’s latest repo weekly report:See that? That’s Italian general collateral trading more-or-less in line with the Eonia OIS curve after a good few months of haywire behavior....
Overplaying the role of haircuts in the crisis
ICMA’s European Repo Council has taken a look at the role of haircutting repo collateral in the current crisis on Wednesday. It’s decided that, overall, (and especially...
Global liquidity fail — the role of skewed incentives
Presenting, one of the best accounts of how the current crisis came about that we’ve read to date.It comes courtesy of Benoît Cœuré, member of the executive board of the ECB,...
Looking at UK repo trends
We’ve already brought you one collateral crunchy statistic from the Bank of England’s latest monetary and finanical statistics. But here’s another interesting...
US MMFs versus the Eurozone, Part 2
In the first installment of US money market funds versus the eurozone, the funds were seen fleeing the continent as quickly as possible, leaving all sorts of funding chaos in their wake....
Collateral shifts in the eurozone
We all know the story in the public repo market. The European Central Bank has provided three years worth of funding against the widest range of collateral it has ever dared to accept,...
A-A-A… staying alive, staying alive
How significant is the downgrade of France by Standard & Poor’s?According to some commenters, like the WSJ’s Simon Nixon, not that significant.But one market...
