TGA fluctuations must be offset by another asset or liability from Fed's balance sheet ⬆️ TGA increase = liability down or asset up ⬇️ TGA decrease = liability up or asset down found this balance sheet model in Fed's notes, and it's a good visual aid to this thread

Illya Gerasymchuk 2025-08-22 14:04

Standing Repo Facility (SRF) is a policy rate set by the Fed, according to the target rate. so unless the target rate is decreased, SRF rate is unlikely to be reduced this situation is putting pressure on the Fed to decrease interest rates and start QE soon