Funding pressures spur first full-sized Fed repo op in three weeks

The central bank is also scheduled to begin buying Treasury bills from Wednesday as part of its effort to improve its control over short-term rates, having announced the $60-billion-a-month plan last week.

NEW YORK: Signs of pressure in dollar funding markets are reappearing, with rates for repurchase agreements at elevated levels and the Federal Reserve’s overnight operation coming in fully subscribed for the first time in three weeks.

The New York Fed took $75 billion of securities in its overnight system repurchase agreement operation Wednesday, according to its website. That was the maximum amount on offer for the action and less than the $80.35 billion in bids it received. The last time such an overnight offering was fully subscribed was Sept. 25.