NY Fed's Perli: Reserve-management Purchases to Remain Flexible

Dow Jones02:39

1439 ET - Roberto Perli, a New York Fed official who manages the Fed system's presence in financial markets, said reserve-management purchases aren't on a preset course, and the Open Market Trading Desk at the New York Fed can adjust amounts up or down depending on money-market conditions. In addition, Perli said that as Chairman Kevin Warsh appoints a task force on the Fed's balance sheet, the desk is well positioned to implement any changes and rate-control framework the committee might decide to pursue. The Fed began reserve-management purchases last December, motivated by expectations for a rapid drain of reserves in April, resulting from tax-payment flows into the Treasury General Account. Reserves in the banking system fall when the Treasury Department's bank account at the Fed grows. (jessica.coacci@wsj.com)

(END) Dow Jones Newswires

July 09, 2026 14:39 ET (18:39 GMT)

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