Free Trial

MNI BRIEF: Treasury's Cash Balance Falls To 8-Month Low

(MNI) WASHINGTON
(MNI)

The U.S. Treasury's cash balance fell to USD1.48 trillion Tuesday from USD1.55 trillion the previous day, data released Wednesday showed, an over 8-month low since June, when the department was building up cash buffers to prepare for fiscal spending.

Fed Chair Jerome Powell earlier on Wednesday told Congress the continued drawdown of Treasury's General Account "could put downward pressure on short-term rates." Although "we haven't made any decisions at all," the Fed could adjust its primary administered rates, including IOER and ON RRP, he said.

Some former officials have told MNI the Fed could adjust its administered rates as soon as March.

MNI Washington Bureau | +1 202-371-2121 | evan.ryser@marketnews.com
MNI Washington Bureau | +1 202-371-2121 | evan.ryser@marketnews.com

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.