Illya Gerasymchuk profile photo
Illya Gerasymchuk
Financial & Software Engineer

with SRF the FED sets an upper limit on repo market rates

User Illya Gerasymchuk -

2025-07-07 17:56

with SRF the FED sets an upper limit on repo market rates

most of the collateral is US Treasury bonds

this exerts downward pressure on bond yields - by preventing sell-offs

User

SRF provides daily $500B liquidity limit for overnight repo operations

a rate is published daily & dealers lend borrow against US bonds

dealers/market makers use SRF when the rate in the open repo market gets too high

SRF = Standing Repo Facility

SRF provides daily $500B liquidity limit for overnight repo operations
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