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Cultura

Fed mulled supporting triparty repo market in a U.S. default: source


    WASHINGTON (Reuters) - The Federal Reserve investigated how it could keep a massive short term lending market from freezing up if America defaulted on its debt, according to a person familiar with planning that was done by the New York Fed.

    The person, who asked not to be identified, said officials researched whether they could lend support to the triparty repo market, which is one of the pillars of short term lending on Wall Street.

    The New York Fed did not immediately respond to a request for comment.

    (Reporting by Jason Lange and Sarah N. Lynch)