Keeping you up to date on the latest data releases.
- Federal Reserve Balance Sheet
There are a few things to catch up on with the balance sheet this week, but all of them should be fairly familiar by now. Maiden Lane II and Maiden Lane III each made scheduled payments on their loans from the New York Fed this week, dropping the outstanding balances by $200 million and $500 million, respectively. Also, after drawing $35 million in 7-day swaps two weeks ago, the ECB took an $40 million and $60 million in 7-day swaps last week and this week. The terms of the most recent operations were similar to the first, drawing at a rate of close to 1.2 percent. These extra draws may be precautionary following the continued widen in European CDS spreads. Spreads on Greek, Irish and Spanish debt are now atop or near crisis peaks. The Fed’s portfolio of Treasury securities has continued to grow these past couple of weeks, now up to $337 billion. Over the past two weeks, $6.6 billion in securities were purchased, and details of the Treasury operations can be found on the New York Fed website. Possibly of note as well, it appears excess reserves have finally leveled off. They have teetered near $1 trillion for almost all of 2010, a drastic difference from movements seen since September 2008.