Emerging strains in financial marketsPosted on September 18, 2019
Federal Reserve could be losing its grip on short-term rates. A spike in overnight borrowing rates forced the New York Federal Reserve to help with a special operation aimed at easing stress in financial markets.
Federal Reserve attempts to ease pressure in markets by purchasing Treasurys and other securities. The goal is to move money into the system to keep borrowing costs from creeping above the Fed’s target range.