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Politics : Ask Michael Burke

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To: Knighty Tin who wrote (53925)	3/30/1999 11:45:00 AM
From: Kailash	Read Replies (2) of 132070

Interest rates - "Federal Reserve policy will be tested once three month Treasury Bill rates exceed the Fed Funds rate. At that point the Federal Reserve would have to inundate the banking system with reserves to maintain the lower inter-bank rate, a highly inflationary operation." gold-eagle.com Could someone comment on this? What is the current 3-mo T-bill and could a rise here force the Fed's hand? Kailash

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