The Sad State of the Repo Market - AK5.1

The repo market has been in the news lately with the Fed intervening for the first time since the 2008 financial crisis to shore up liquidity problems.  We explain how the repo market works, go over the timeline of events in the market thus far, and discuss its wider implications.

Topics include:

What a repo is and why it’s important

The role of the Fed

Timeline of events

Future projections

Links:
https://www.investopedia.com/terms/r/repurchaseagreement.asp

https://realinvestmentadvice.com/who-could-have-known-what-the-repo-fiasco-entails/

https://www.newyorkfed.org/markets/opolicy/operating_policy_190920