The European Central Bank (ECB), The Bank of Japan (BoJ), the Bank of England (BoE), and the Swiss National Bank (SNB) announced on Tuesday that the frequency of their dollar operations with the US Federal Reserve (Fed) will be reduced beginning May 1 since financial market volatility has decreased.
Important takeaways
“In consultation with the Fed, the BoE, the BoJ, the ECB, and the SNB have decided to reduce the frequency of their 7-day operations from daily to once per week.”
This decision was made in light of recent US Dollar liquidity-providing operations’ low demand and improved US Dollar funding conditions.
“These central banks stand ready to adjust the provision of US dollar liquidity as market conditions warrant.”
