Repo On The African Plain

By |2016-11-22T17:48:37-05:00November 22nd, 2016|Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

That the repo market, as noted yesterday, has been beset by a persistent collateral shortage is relatively uncontroversial. Where once large blocks of MBS tranches were central to interbank flow and funding, their absence is still a fact of operation though that repudiation was a very long time ago. Even with that backdrop, however, it doesn’t explain a whole lot [...]