= Some sort of accounting chicanery at the Fed. Apparently, when you borrow money from the Fed and dump it back at the Fed to gain free interest, it magically becomes a non-borrowed reserve.
Check out the column labeled "reserve balances with F.R. banks" in the 3rd chart of the H3 release. Zero that column out and they're around $600 billion in the hole, which sounds about right.
http://www.federalreserve.gov/releases/h3/Current/
No comments:
Post a Comment