Markets News Regulators 

Fed keeps cash spigot open as key rate punches above its target

“These operations have reduced repo rates, which were last quoted at 2.10%-2.25% on Wednesday” writes Midwest Communications Inc for 95kqds.com. Dollar money markets have wobbled this week as banks and Wall Street dealers scrambled to find daily funding for their trades and loans. They also seemed to lower the rates in other money market instruments such as Treasury bills.Concerns over problems in money markets spreading have been muted so far.In an overnight repo operation, banks borrow cash from the Fed using Treasuries and other securities as collateral. Source: 95kqds.com

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Markets News Stocks 

Here’s how retirees should plan for an imminent recession

“The federal government revised downward its estimate of second-quarter GDP growth from an already tepid 2.1% to 2.0%” writes Mark Hulbert for marketwatch.com. It would be going too far, of course, to conclude from these results that recessions are preferable to economic growth.That is, throughout those bear markets, from beginning to end, the U.S. economy was growing. Source: marketwatch.com

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Futures Markets News Regulators 

Dow Futures Drift Lower, Global Markets Cautious Ahead of Fed Rate Decision

“Global stocks traded cautiously Wednesday, with investors focused on both the U.S. Federal Reserve’s September rate decision later today in Washington and the impact of last weekend’s attacks on two key Saudi oil facilities on world crude markets” writes Martin Baccardax for thestreet.com. The U.S. dollar index, which tracks the greenback against a basket of six global currency peers, was marked 0.2% higher at 98.47, while benchmark 2-year U.S. Treasury bond yields rallied 5 basis points to 1.705%. Source: thestreet.com

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Markets News Oil Regulators Stocks 

Need to Know: Charles Schwab’s Liz Ann Sonders warns against inflation and interest-rate complacency

“Investors will be listening up for future policy hints and its thoughts on oil prices and maybe on this scarcity of cash issue” writes Markets Reporter for marketwatch.com. Europe stocks SXXP, +0.08% are slightly higher, while Asia markets ADOW, -0.47% went nowhere ahead of the Fed decision.Dow YM00, -0.13%  , S&P ES00, -0.16%  and Nasdaq NQ00, -0.22%  are edging south, and oil CLV19, -1.37% is down again.Between an attack on Saudi Arabia’s oil and a credit crunch disrupting short-term money markets, there has been a lot to chew on this…

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PUMP: NY Fed Doubles-Down on Repo Intervention as Bank Cash Crisis Rattles Markets…

“Unless there’s a big surprise, the markets’ response to tomorrow’s Fed announcement will focus on forward guidance,” said LPL Financial chief investment strategist John Lynch” writes Martin Baccardax for thestreet.com. “Reserves have been declining since 2014 and we expect them to decline further as Treasury’s cash balance increases and currency in circulation grows.”.  Source: thestreet.com

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Markets News Oil Regulators Stocks 

Investors are too complacent about inflation and low interest rates, says Schwab strategist

“Investors will be listening up for future policy hints and its thoughts on oil prices and maybe on this scarcity of cash issue” writes Markets Reporter for marketwatch.com. Europe stocks SXXP, +0.11% are slightly higher, while Asia markets ADOW, -0.49% went nowhere ahead of the Fed decision.Dow YM00, -0.16%  , S&P ES00, -0.19%  and Nasdaq NQ00, -0.22%  are edging south, and oil CLV19, -0.56% is down again.Between an attack on Saudi Arabia’s oil and a credit crunch disrupting short-term money markets, there has been a lot to chew on this…

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Markets News Oil Regulators 

Oil steps back on Saudi supply reassurance, focus shifts to Fed

“Brent crude futures dipped 0.1% to $64.50 a barrel, having conceded more than 60% of their gains made after the weekend attack on Saudi oil facilities” writes Midwest Communications Inc for 95kqds.com. Still, heightened geopolitical tensions underpinned oil as well as some safe-haven assets such as U.S. bonds.That prompted the New York Fed to conduct its first repo operation in more than a decade to inject funds to stressed money markets.TOKYO (Reuters) – Oil prices cooled on Wednesday as Saudi Arabia said full oil production would be restored by month’s…

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Markets News 

Cboe Global Markets unveils plans for new trading floor

“Cboe plans to build its new trading floor on the seventh and eighth floors of the building” reports financefeeds.com. Cboe Global Markets, Inc. today unveiled plans to build new trading floor and office space at 141 W. Jackson Boulevard, as well as to move its global headquarters in Chicago to the Old Post Office building at 433 W. Van Buren Street.It will be moved to approximately 40,000 square feet of leased office and trading floor space at 141 W. Jackson in 2021.The historic CBOT Building was Cboe’s first trading floor…

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Markets News 

Chicago options exchange to move headquarters, open new trading floor

“The parent company of the Chicago Board Options Exchange said Tuesday it will move its headquarters into the Old Post Office and will build a new trading floor in the Chicago Board of Trade Building at 141 W. Jackson” writes Sep Cdt for suntimes.com. Its new trading floor will occupy the same area that housed its pits in the late 1970s to the early 1980s, the company said.The trading floor space, 40,000 square feet, goes to the company on a 12-year lease.In materials distributed to employees, the company said the…

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Markets News Regulators 

How a cash shortage forced the Fed to stem a surge in rates in a vital area on Wall Street funding

“This rate jumped as high as 8% on Tuesday, according to ICAP, even though it is usually expected to stick near the fed funds rate” writes Sunny Oh for marketwatch.com. As a result, Hills says the CME’s tracker of rate decision probabilities may be reflecting the odds for the effective fed funds rate to remain elevated due to this week’s funding squeeze, rather than expectations for the fed funds target range going forward.Analysts say a perfect storm of factors may have been responsible for the spike in repo rates this…

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