At the New York Fed, our mission is to make the U.S. economy stronger and the financial system more stable for all segments of society. We do this by executing monetary policy, providing financial services, supervising banks and conducting research and providing expertise on issues that impact the nation and communities we serve.
The foreign exchange (FX) market is the largest financial market by trading volume in the world, with over $9 trillion in average daily turnover, according to the latest Bank for International Settlements data. Given the market’s important role in supporting international trade, investment, and finance, it is crucial to understand and analyze developments in it to ensure it functions effectively and resiliently.
On a recent visit to New Jersey, President John C. Williams and New York Fed staff explored two dynamic urban centers—Newark and Jersey City—to understand how local leaders, businesses, and community organizations are shaping economic growth and resilience.
Similar to prior year-ends, overnight secured money markets experienced rate pressures on and around Dec. 31, 2025. While these pressures were substantial, they were short-lived, and overall market functioning was orderly. Moreover, higher overnight rates in the repurchase agreement, or repo, market did not spill over to the Federal Reserve’s policy rate, the federal funds rate. Orderly conditions over year-end followed recent decisions by the Federal Open Market Committee (FOMC) to resume balance sheet growth and enhance standing repo (SRP) operations. These recent decisions were made to maintain ample liquidity in the financial system and keep the federal funds rate within the target range set by the FOMC.
Nearly 500 entrepreneurs, community leaders, investors, and researchers participated in “Making Missing Markets: Connecting Communities and Capital,” a November event focused on fostering and improving markets channeling investments into under-resourced communities.
In remarks in New York City on January 12, New York Fed President John C. Williams discussed what he expects to see this year for the U.S. economy and for monetary policy.
The Federal Reserve (Fed) implements monetary policy through an ample reserves framework, where a sufficient supply of reserves allows the federal funds rate and other short-term interest rates to be primarily controlled through administered rates set by policymakers. In this article, we provide insight into some of the tools the Fed uses to implement monetary policy, with a focus on recent changes to standing repo operations.
As the deepest and most liquid securities market worldwide, the U.S. Treasury market plays a critical role in the global economy. As Treasury Secretary Scott Bessent said in his remarks, “Maintaining a robust Treasury market—and strengthening it even further—is essential.”
In remarks in New Jersey on December 15, New York Fed President John C. Williams discussed the U.S. economy and how the Federal Reserve is working to achieve its dual mandate of maximum employment and price stability. He also provided his economic outlook.
New York Fed President John C. Williams visited Rochester and Syracuse, New York, in late September to gain insights on the economy of the cities and surrounding region. The two days of meetings, roundtable discussions, and site visits with local leaders highlighted key trends shaping the future of Central New York and the Finger Lakes region.
In remarks at a conference celebrating the centennial of the Central Bank of Chile on November 21, New York Fed President John C. Williams discussed the importance of inflation targeting in helping central banks achieve price stability and better economic outcomes, particularly after the onset of the COVID-19 pandemic. He also gave his views on inflation, employment, and monetary policy in the United States.
