Having avoided year-end repo crash, Fed's Barkin says focus now on long-term fix

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Having avoided year-end repo crash, Fed's Barkin says focus now on long-term fix
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Having successfully avoided a liquidity crunch in money markets at the end of th...

FILE PHOTO: Federal Reserve Bank of Richmond President Thomas Barkin poses during a break at a Dallas Fed conference on technology in Dallas, Texas, U.S., May 23, 2019. REUTERS/Ann Saphir/File Photo

Interest rates in the overnight lending markets for cash remained subdued on Dec. 31, which was expected to be a tough day for liquidity as banks cut back their lending for regulatory reasons. Financial firms took up only a small amount of the $150 billion the Fed offered up in the market for repurchase agreements, or repo, on the last day of the year.

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