It is believed that the Fed have been speaking with Primary Dealers about restarting Reverse-Repo operations soon. They stopped operations in Dec. 2008 after the last rate cut. It’s worth noting that pre-crisis (before Sept. 15, 2008), the typical Fed repo operation was between $2b and $10b. Dealers believe it may be the potential size of the upcoming operations that is the reason for the meetings and the Fed’s statement released today. To date the Fed’s balance sheet has grown over $1 trillion since 2008!
Statement Regarding Reverse Repurchase Agreements
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Dean Popplewell
He has a deep understanding of market fundamentals and the impact of global events on capital markets.
He is respected among professional traders for his skilled analysis and career history as global head
of trading for firms such as Scotia Capital and BMO Nesbitt Burns. Since joining OANDA in 2006, Dean
has played an instrumental role in driving awareness of the forex market as an emerging asset class
for retail investors, as well as providing expert counsel to a number of internal teams on how to best
serve clients and industry stakeholders.
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