US Banks Just Borrowed $100,000,000,000 From Fed’s Emergency Lending Platform
It’s been just revealed the fact that the US banks have just borrowed $100,000,000,000 from the Fed’s emergency lending platform. Check out the latest reports about this below. US banks borrow tons of cash from the Fed’s...
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It’s been just revealed the fact that the US banks have just borrowed $100,000,000,000 from the Fed’s emergency lending platform. Check out the latest reports about this below.
US banks borrow tons of cash from the Fed’s emergency platformAccording to the reports coming from the online publication the Daily Hodl, the Federal Reserve’s lending program to support US banks is in high demand as borrowings shatter $100 billion.
“The latest data from the Fed shows that its Bank Term Fund Program (BTFP) has issued loans to the tune of $100.16 billion as of June 7th, compared to $93.61 billion borrowed the week ending May 31st.”
It is also important to mention the fact that BTFP was designed to eliminate a bank’s need to sell those assets in times of distress.
Another issue that has to be mentioned is that the rising number of loans issued by the Fed via the BTFP suggests that the banking industry remains in serious need of additional funding to satisfy depositor obligations.
This is also showing the fact that banks are still feeling the pressure of the Fed’s tight monetary policies.
The central bank has imposed 10 straight rate hikes over the last 14 months, driving its benchmark interest rate to 5.08% – a level not seen since 2007,” according to the notes coming from the online publication mentioned above.
The state of the US dollarAccording to the latest reports, it has been revealed the fact that the chief executive of stablecoin issuer Circle is urging the United States to maintain the competitiveness of the dollar by creating clear guidelines for stablecoins.
The online pubcalition the Daily Hodl notes the fact that the U.S. House Financial Services Committee’s latest hearing on stablecoin legislation, Jeremy Allaire says the stakes are too high to ignore and that the US must ensure the dollar is the most competitive fiat currency on the internet.
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