Roberto Perli, manager of the Federal Reserve’s System Open Market Account (SOMA), spoke at the Eighth Short-Term Funding Markets Conference at the Federal Reserve Board in Washington, D.C. on May 9.
May 13, 2025
April 16, 2025
Teacher Training: Learning from an Economist
The 45 high school teachers had questions for Andrew Haughwout, the New York Fed’s deputy director of research.
Posted in Economic Education | Permalink
April 11, 2025
Key Takeaways from President Williams’s Speech on the Economic Outlook and Monetary Policy
In remarks at a Puerto Rico Chamber of Commerce event on April 11, New York Fed President John C. Williams discussed the economy and monetary policy in the context of a changing and uncertain landscape. He also talked about inflation expectations and how the Federal Reserve is working to achieve its dual mandate of maximum employment and price stability, and shared observations about Puerto Rico’s economy.
Posted in Economic Outlook | Permalink
April 8, 2025
Haircuts in Treasury Repo: A Look at the Non‑Centrally Cleared Bilateral Repo Market
The Treasury Market Practices Group (TMPG), a New York Fed-sponsored group of market professionals, recently released a white paper and proposed recommendations on margin practices for repurchase agreements, or repos, involving U.S. Treasury securities. The white paper, based on discussions with market participants and data from the U.S. Treasury Department’s Office of Financial Research, describes the current risk management practices in the Treasury repo market for mitigating counterparty risk exposures, or the potential losses from a counterparty defaulting before final settlement of a financial transaction. It also identifies the resulting risk and resiliency issues. Based on this work, the proposed updates to the TMPG’s Best Practices include a recommendation that all Treasury repo trades should include prudent haircuts, or margin, on the value of the securities, in concert with other risk management techniques. In this article, we highlight the main findings of the white paper that led to this proposed best practice recommendation, with a focus on the non-centrally cleared bilateral repo market.
Posted in Financial Markets | Permalink
April 3, 2025
Queens Regional Visit: What We Learned During a Day in the World’s Borough
In early December, New York Fed President John C. Williams spent a day visiting neighborhoods in the New York City borough of Queens. In Long Island City, Flushing, and East Elmhurst, President Williams and a team from the New York Fed met with leaders in government, transportation, community development, and business. This regional visit—part of the New York Fed’s ongoing efforts to assess economic conditions across the Federal Reserve’s Second District—gave President Williams an opportunity to engage directly on issues specific to these communities.
Posted in Regional Visits | Permalink
April 2, 2025
Going Beyond Economic Data with Business Leaders and Workers
Data doesn’t always signal turning points in the economy. But sometimes conversations do.
Posted in Regional Visits | Permalink
March 21, 2025
Key Takeaways from President Williams’s Speech on Monetary Policy and the Economy
In remarks at the Macroeconometric Caribbean Conference on March 21, New York Fed President John C. Williams discussed the economy and monetary policy in the context of a changing and uncertain landscape. He also talked about global inflationary trends, inflation expectations, and how the Federal Reserve is working to achieve its dual mandate of maximum employment and price stability.
Posted in Economic Outlook | Permalink
March 6, 2025
Highlights from Roberto Perli’s Speech on Monetary Policy Implementation
Roberto Perli, manager of the Federal Reserve’s System Open Market Account (SOMA), spoke before the Money Marketeers of New York University on March 5. He discussed monetary policy implementation issues related to the process of reducing the size of the Federal Reserve’s balance sheet and the related transition from an abundant to an ample supply of reserves.
Posted in Monetary Policy Implementation | Permalink
February 19, 2025
Creating a More Robust Secondary Market for CDFI Loans: Insights from CDFI Loan Funds
The New York Fed’s Community Development team has been studying how the secondary market for loans originated by Community Development Financial Institutions (CDFIs) could be expanded. A more robust secondary market for loans made by CDFIs, which specialize in lending to low- and moderate-income communities, would give CDFIs greater access to capital. That, in turn, could increase the capital available to borrowers in the rural communities, suburbs, and urban neighborhoods CDFIs serve.
Posted in Community Development | Permalink
February 13, 2025
The Role of Nonbank Financial Institutions in Monetary Policy
This is the second in an ongoing series on nonbank financial institutions. Read the first article on the basics of NBFIs.
The Federal Reserve has historically relied on commercial banks and select broker-dealers to implement and transmit monetary policy. In recent years, nonbank financial institutions (NBFIs) have taken on increasingly important roles. As discussed in a previous article, NBFIs are financial companies that perform a variety of financial services but do not have a bank license. Examples of NBFIs include investment funds, pension funds, insurers, government-sponsored entities, and broker-dealers. In this article, we discuss some of the ways that NBFIs contribute to the implementation and transmission of monetary policy in the United States.
