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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?

To: elmatador who wrote (21799)	8/30/2007 1:54:45 PM
From: KyrosL	Read Replies (1) \| Respond to of 218050

It's pretty easy to track which Fed transactions are repos (which do not add money) and which are permanent injections (which do). Unless the transactions are labeled permanent injections, they are repos. The news media for the most part do not make this key distinction, since the journalists reporting don't know much, and even if they do, it sounds so much more dramatic if they report everything as injections. In fact almost all of the money "injected" by the Fed in the last month have been repos, which have been promptly taken back a few days after they were breathlessly reported. Naturally, almost nobody reports expiring repos.