Fed funds, the U.S. overnight inter- bank lending rate, opened at 0.18 percent, within the Federal Reserve’s target of zero to 0.25 percent.
Fed funds closed at 0.15 percent on July 13 after trading from 0.15 percent to 0.5 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 August 2022 to February 2031. 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.
To contact the reporter on this story: Liz Capo McCormick in New York at firstname.lastname@example.org
To contact the editor responsible for this story: Dave Liedtka at email@example.com