Repo Rates, Swap Spreads, And A More Distant Fed Exit

By |2012-11-26T16:38:36-05:00November 26th, 2012|Markets|

Joe Calhoun recently noticed a bit of a structural shift taking place in the repo market, and he was right to point out the Fed’s role in the process. QE 3 has caused some of the usual “unforeseen” and unintended consequences that ripple through wholesale money markets. I have been highlighting a related drop in swap spreads, particularly the 10 [...]