Fed funds closed at 0.28 percent on March 2 after trading from 0.06 percent to 0.28 percent and averaging 0.11 percent, ICAP Plc, the world’s largest inter-dealer broker, said in an e- mailed statement. ICAP’s monthly average is 0.11 percent.
The central bank will sell $1 billion to $1.5 billion of Treasury Inflation Protected Securities maturing from July 2012 to January 2015. The sales are part of the Fed’s program to replace $400 billion of short-term debt in its portfolio with longer-term Treasuries in an effort to reduce borrowing costs further and counter rising risks of a recession.
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