U.S. Federal Reserve awards $98.04 bln reverse repos Friday
NEW YORK, March 12 (Reuters) - The U.S. Federal Reserve on Friday awarded $98.04 billion of three-day fixed-rate reverse repurchase agreements to 36 bidders at an interest rate of 0.05 percent, the Federal Reserve Bank of New York said on its website.
On Thursday, the U.S. central bank allotted $132.71 billion in overnight reverse repos to 54 bidders including Wall Street dealers, money market mutual funds and mortgage finance agencies, also at an interest rate of 0.05 percent.
Thursday's amount was the most since Feb. 27 when the Fed awarded $155.0 billion.
Demand for the Fed's RRPs tends to fall when the interest rate on repurchase agreements is rising. The repo rate was last quoted at 0.20 percent to 0.24 percent, compared with 0.19 percent late on Thursday, according to ICAP (LSE: IAP.L - news) .
The repo rate, which is what money funds and other investors charge to lend cash, rose to its highest level in two months. (Reporting by Richard Leong)