The Federal Reserve announced that its "Board authorizes small-value offerings of term deposits under the Term Deposit Facility". It says, "The Federal Reserve Board has authorized up to five small-value offerings of term deposits under the Term Deposit Facility (TDF) to be conducted in coming months. The Board had indicated in its announcement on April 30 that it anticipated conducting such small-value offerings. These small-value offerings are designed to ensure the effectiveness of TDF operations and to provide eligible institutions with an opportunity to gain familiarity with term deposit procedures. The development of the TDF and the small-value TDF offerings are a matter of prudent planning and have no implication for the near-term conduct of monetary policy. The Board also approved a basic structure for the small-value TDF offerings. Similar to many money market instruments, the term deposits offered will be simple fixed-rate instruments with maturities of 84 days or less and will be issued primarily through competitive single-price auctions." In other news, Reserve posted two releases late last week -- "Reserve Yield Plus Fund to Distribute $7 Million" and "U.S. District Court Issues Orders Granting Federal Interpleader Application And Scheduling Adjudication Of Proposed Distribution Plan For Reserve International Liquidity Fund, Ltd.."

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