NEW YORK: The US Federal Reserve on Monday awarded $80.81 billion of one-day, fixed-rate reverse repurchase agreements to 32 bidders at an interest rate of 0.25 percent, the New York Fed said on its website.
Monday's amount was the highest since July 6 when the Fed awarded $83.40 billion to 39 bidders.
On Friday, the Fed allotted $41.16 billion in three-day reverse repos to 29 bidders, including Wall Street dealers, money market mutual funds and mortgage finance agencies, also at an interest rate of 0.25 percent.
The reverse repurchase agreement program is seen as a critical policy tool for the US central bank to drain money from the financial system in an effort to achieve its interest rate objectives.
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