Liquidity

Equities, other risk assets face hit as $800 bn stimulus to fade, says Citi

Equities and other risk assets will take a hit when central banks withdraw as much as $800 billion of stimulus deployed to prop up the global economy, according to Citigroup Inc. The risk rally has been fueled by the injection of over $1 trillion of central bank liquidity, and high-frequency liquidity indicators suggest this is … Read more

The Fed is soaking up nearly $1 trillion from market participants awash in cash and desperate for returns | Currency News | Financial and Business News

The Federal Reserve’s daily cash operations approached $1 trillion on Wednesday, as banks and other market participants drowning in cash look for somewhere to park their money. The Fed’s “reverse repo” facility, where financial institutions can deposit cash overnight, took in an all-time high of $992 billion on Wednesday, according to Fed data. Usage shot … Read more