9 August 2021
July 2021 - Cash-flooded financial markets support demand for Treasuries - Tactical Fund Manager's Comments
In July, long-term Treasury bond yields continued to decline. With Developed central banks maintaining their massive asset purchase programs, financial markets are flooded with cash. The surge in demand for Fed’s Reverse Repo facility which reached one trillion in July, a new record, illustrates well this point:
Overnight Reverse Repurchase Agreement
Source: Federal Reserve Bank of New York, RAM AI, as of 30.07.2021
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