Birdwatch Note Rating
2023-03-18 12:55:11 UTC - NOT_HELPFUL
Rated by Participant: 490281E66D3AD22B4B2FBC9AFD3626361F8CA5838F71B7A220AB7ED6C33741E4
Participant Details
Original Note:
The Fed opened the discount window that allows banks to post Treasuries/other securities in exchange for cash. A bank can post discount bonds (worth 95) for 100 from the Fed. There is only a modest % of money creation relative to the $300B. https://www.bloomberg.com/news/articles/2023-03-17/what-is-the-fed-discount-window-why-are-banks-using-it-so-much?srnd=premium
All Note Details