Fed funds, the U.S. overnight inter- bank lending rate, opened at 0.17 percent, within the Federal Reserve’s target of zero to 0.25 percent.
Fed funds closed at 0.1 percent on July 6 after trading from 0.1 percent to 0.21 percent and averaging 0.17 percent, ICAP Plc, the world’s largest inter-dealer broker, said in an e- mailed statement.
The central bank will acquire $1.5 billion to $2 billion of Treasuries maturing from February 2036 to May 2042. The purchases are the part of the Fed’s program, which lasts through the end of the year, to replace $267 billion of short-term debt in its portfolio with longer-term Treasuries in an effort to reduce borrowing costs.
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