Global central banks have taken coordinated action to make sure there is enough liquidity in the U.S. dollar.
The European Central Bank, Bank of Japan, Bank of England, Swiss National Bank, and Bank of Canada all joined the Federal Reserve in increasing the frequency of 7-day maturity operations from weekly to daily, the U.S. central bank said in a statement.
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The move will “improve the swap lines’ effectiveness in providing U.S. dollar funding,” the Fed said.
“These daily operations will commence on Monday, March 23, 2020, and will continue at least through the end of April,” the Fed added. “The central banks also will continue to hold weekly 84-day maturity operations.”
This story is developing. Check back for updates.
