The New York Fed undertakes small value open market transactions for the purpose of testing operational readiness to implement existing and potential policy directives from the Federal Open Market Committee (FOMC). The FOMC authorizes the New York Fed's Open Market Trading Desk (the Desk) to conduct these exercises to test its operational readiness in the Authorization for Domestic Open Market Operations and Authorization for Foreign Currency Operations.
In connection with these authorizations, the Desk intends to conduct a small value forward-settling overnight repo operation with Primary Dealers and Standing Repo Facility counterparties. The operation will be conducted via FedTrade from 10:30 AM ET to 10:45 AM ET on Monday, April 11, 2022. All counterparties will be limited to one $1 million proposition per tranche during the operation. The operation details are as follows below:
Repurchase Agreement Operation:
| OPERATION TENOR/TYPE | ELIGIBLE COUNTERPARTIES | OPERATION DATE | SETTLEMENT DATE | MATURITY DATE | SECURITY TYPE | OFFERING RATE | MAXIMUM VALUE OF OPERATION |
| Overnight Repo | Primary Dealers and SRF counterparties, which include depository institutions |
Mon, Apr 11, 2022 | Tue, Apr 12, 2022 | Wed, Apr 13, 2022 | Multi-tranche: Treasury, Agency, Agency MBS | At or Above Apr 11 Minimum Bid Rate |
$100 million |
Announcements and results will be posted on the New York Fed’s website at the start and following the completion of the operation.
