The Fed pumped 13.5 billion Dollar into the banking system through Repo operations last night!
📈 The second largest liquidity injection since Corona, surpassing even the levels of the dot-com bubble.
Are we witnessing cracks in the banking system? 👀💵
What is repo? It is a very short-term loan in which the bank receives instant cash from the Federal Reserve in exchange for bonds as collateral, and then repays the amount the next day with simple interest.
Why is it important? Because it's the fastest way to Pump liquidity without the Federal Reserve announcing "money printing". The more repo operations increase = liquidity enters the market ⬅️ often but not always positive for the markets... #LINKETFToLaunch $BTC
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The Fed pumped 13.5 billion Dollar into the banking system through Repo operations last night!
📈 The second largest liquidity injection since Corona, surpassing even the levels of the dot-com bubble.
Are we witnessing cracks in the banking system? 👀💵
What is repo?
It is a very short-term loan in which the bank receives instant cash from the Federal Reserve in exchange for bonds as collateral, and then repays the amount the next day with simple interest.
Why is it important?
Because it's the fastest way to Pump liquidity without the Federal Reserve announcing "money printing".
The more repo operations increase = liquidity enters the market ⬅️ often but not always positive for the markets... #LINKETFToLaunch $BTC