- Endorses proposed reverse repo facility, says it could help conduct US monetary policy
- Says the repo plan is not a sign of FOMC policy intentions
- It should increase Fed control of rates
Head of the Markets Group at the New York Federal Reserve, Simon Potter
Link to the text: Recent Developments in Monetary Policy Implementation :
My remarks this evening will focus on the role played by the New York Fed’s Trading Desk (the Desk) in the implementation of monetary policy and how our operational tools have evolved in recent years.
… Before discussing overnight, fixed-rate reverse repos, I think it would be helpful to lay out some context for how we think about monetary policy implementation.
Added: Recap from the Wall Street Journal (not gated) Fed Official: Test of New Tool Are Going Well