Central Banks Signal No Dash for Dollars in New Swap Lines
- SNB allots $101 million, ECB just $5 million to single bidder
- Bank of England and Bank of Japan received zero bids
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Global central banks witnessed no dash for dollars after uniting with the Federal Reserve to ease access to supplies of the US currency, an indication the latest bout of banking turmoil may not be causing undue stress to the financial system.
Offered the chance to secure dollars via the Fed on a daily basis rather than the typical weekly frequency, the Swiss National Bank awarded $101 million in a daily seven-day maturity repo operation, the most since October 2022, but well below previous times of broad funding strains.