..but the omniscient Fed knows better than the market?
Is that what you are saying?
Is that what you are saying?
They have their judgments just like every other entity in the market. They use their best judgement to know that the repo market needs a cash injection.
They're not infallible, but as regulators... their job is to regulate.
$200-billion could have been implemented for more worthy projects than the repo market. In my opinion, the FED needs more oversight from Congress and/or the Treasury.