Effective Fed Funds Rates Jumps To Highest All Year

Investment Advisor Representative - Sitka Pacific Capital Management • Feb 1, 2020 at 12:46 PM EST

The effective Fed Fund Rate jumped today, but what does it mean? I do not know the cause but the Effective Rate jump seems unusual.

The effective Fed Fund Rate jumped today, but what does it mean?

Highest All Year

I do not know the cause but the Effective Rate jump seems unusual.

My Conversation With the 30-Year Long Bond

In My Conversation With the 30-Year Long Bond I noted a "solid wall of inversions" from the three-year note through the Fed Funds Rate.

The Fed Funds rate would not be inverted with the 3-month and 6-month T-Bills without the Fed Funds Rate jump today.

Recall that it was a Fed Ends Rate jump that kicked off the Repo Crisis.

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