Financial Markets Brace for Liquidity Shifts, Regulatory Adjustments, and Data Center Debt Scrutiny
Key TakeawaysFederal Reserve officials are actively encouraging the use of the Standing Repo Facility (SRF) to manage increasing liquidity needs as the Fed's balance sheet shrinks and money market rates show upward pressure.Wall Street's top regulator is reportedly considering ways to ease the market transition to a significant new rule requiring hedge funds and other firms trading in U.S. Treasuries to centrally clear more of their trades.Debt investors are adopting a more cautious stance on junk bond deal ...