课件货币金融学financialmarketandinstitutions-米什金-英文ch11原版.pptVIP

Money Market Instruments: Treasury Bills Mini-Case: Treasury Bill Auctions Go Haywire In 1991, Salomon Smith Barney violated Treasury auction rules to corner the auction on an $11 billion issue. Several top Salomon officials were forced to retire (or fired) as a result of the incident. The Treasury also changed the auction rules to ensure a competitive auction. Money Market Instruments: Fed Funds Short-term funds transferred (loaned or borrowed) between financial institutions, usually for a period of one day. Used by banks to meet short-term needs to meet reserve requirements. Money Market Instruments: Fed Funds Rates The next slide shows actual fed funds rates and T-bill rates 1990 through 2010. Notice that the two rates track fairly closely. What does this suggest about the market for T-bills and the market for fed funds? Money Market Instruments: Fed Funds Rates Money Market Instruments: Repurchase Agreements These work similar to the market for fed funds, but nonbanks can participate. A firm sells Treasury securities, but agrees to buy them back at a certain date (usually 3–14 days later) for a certain price. Money Market Instruments: Repurchase Agreements This set-up makes a repo agreements essentially a short-term collateralized loan. This is one market the Fed may use to conduct its monetary policy, whereby the Fed purchases/sells Treasury securities in the repo market. Money Market Instruments: Negotiable Certificates of Deposit A bank-issued security that documents a deposit and specifies the interest rate and the maturity date Denominations range from $100,000 to $10 million Money Market Instruments: Negotiable Certificates of Deposit The next slide shows actual CD rates and T-bill rates 1990 through 2010. Again, notice that the two rates track fairly closely. What does this suggest about the market for T-bills and the market for CDs? Money Market Instruments: Negotiable CD Rates Money Market Instruments: Commercial Paper Unsecured promissory notes