The cost of borrowing U.S. dollars through foreign exchange (FX) swap markets increased significantly in the beginning of the Covid-19 pandemic in February 2020, indicated by larger deviations from Covered Interest Rate Parity (CIP). CIP deviations narrowed again when the Federal Reserve...

This note explains how the Federal Reserve's overnight and term reverse repurchase agreement (RRP) operations are reported in the Federal Reserve's Financial Accounts of the United States (formerly known as the Flow of Funds Accounts)

More than half of auto financing is originated by non-bank finance companies that typically rely on short-term funding markets for their own financing. During the recent financial crisis, disruptions in these short-term financing markets reduced the availability of auto credit to consumers,...