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David Shiau joins BUCKLER Securities LLC as Director — Rates Trading

David Shiau joins BUCKLER Securities LLC as Director — Rates Trading
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US overnight funding rate hits record high amid year-end volatility

NEW YORK, Dec 29 - A gauge measuring the borrowing costs on loans between banks and other participants in the U.S. repurchase agreement market hit its. -December 29, 2023 at 01:35 pm EST - MarketScreener

US overnight funding rate hits record high amid year-end volatility

US overnight funding rate hits record high amid year-end volatility

A gauge measuring the borrowing costs on loans between banks and other participants in the U.S. repurchase agreement (repo) market hit its highest level since it was launched about five years ago, New York Federal Reserve data released on Friday showed. The Secured Overnight Financing Rate (SOFR), a measure of the cost of borrowing cash overnight collateralized by Treasury securities, hit 5.4% on Thursday - the highest since April 2018, when the New York Fed began publication of the rate. A spike in the price for repurchase agreements, or repos - in which investors borrow against Treasury and other collateral - can be a sign that cash is getting scarce in a key funding market for Wall Street.

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