Fed $ Swaps Outstanding
As of oct 3rd: -267,191 (approximate market value, in US millions)
The short positions reflect foreign exchange acquired under reciprocal currency arrangements with certain foreign central banks.
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Recent Entries - #Links
- Fed Starts $500 bn MBS Purchase
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- Your Bonus: Toxic Waste
- 29 Red Flags
- Hooray: Treasury Releases U.S. International Reserve Position
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- SEC Chairman Christopher Cox on Madoff
- AWOL: U.S. International Reserve Position
- Fed: Target RANGE 0 TO 25 bp
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- You Can’t Make This Up
- Lehman and Federal Reserve Assets
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- Ecuador CDS
- Sovereign Default of the Day: Ecuador
- How Madoff Controls Adverse Selection
- Record Ponzi Scam: $50 Billion
- Another First: U.S. Households Pay Down Debts
- #Links
- Fed Bonds
- WSJ: Wrong on AIG
- GMAC Too Broke To Become a Bank
- #Links
- Official: The FED Is Clueless
- Negative Rates for T-Bills
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- Credit Event: Tribune Co. Files for Chapter 11 Bankruptcy
- I awlyas tghuhot slpeling was ipmorantt
- #Links
- Private Matters
- Triple A Harvard Bonds
- OTC Derivatives Collateral: $2.1 Trillion
- #Links
- #Links
- Inside the AIG CDO LLC Facility
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- Quantitative Easing
- #Links
- U.K. CDS Breaks the 100 Barrier
- Official: Recession Started in December 2007
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- Only in America
- #Links
- Record U.S. CDS: 56 bp
- Fed Swap Lines: Good News
- Add $600 bn to Fed Balance Sheet
- Latest Scam: TALF
- #Links
- #Links
- Citi CDS Post-Bailout
- The Extraordinary Events in Credit Markets Over the Last Sixty Days
- CMBX-5
- Historic Day for the 30 Year Bond
- Credit Today
- French Sovereign Fund: Don’t Laugh
- GMAC Bank?
- #Links
- Moral Hazard and Adverse Selection in the Originate-to-Distribute Model of Bank Credit
- State Supported Banks
- Imperfect Information and Monetary Models: Multiple Shocks and their Consequences
- #Links
- Kiyoshi Ito, RIP
- Fed Swap Lines: Massive Mark-to-Market “Losses”
- Credit Today
- #Links
- Citi “Town Hall Meeting”
- #Links
- Must See Video
- From the 5th ECB Central Banking Conference
- Iceland
- “Long Live Small Traders, Thank You Lawyer”
- #Links
- CDS Volumes Decline
- “Unusual and Exigent Circumstances” Make American Express a Bank
- AIG: Official New Deal
- Bloomberg Sues Fed to Force Disclosure of Collateral
- ABX and DTCC Data
- Deleverage This
- Repos Fails: Improving
- BofE: Mega Cut Panic
- DTCC to Publish CDS Data
- OIS Still Plunging
- CPFF: $144 bln in 3 Days
- Repos Fails: Still Near Record
- NYSE Margin Debt Cut in Half
- DTCC Successfully Closes Out Lehman Bankruptcy
- Libor-OIS
- SLF
- Fed Swap Lines Expanded
- More Rate Cuts Coming
- $600 bln Anti-Foreclosure Plan
- Libor-OIS
- #Links: $20bn ‘Sting’ Edition
- Vast Majority of Employees Losing Sleep Over Financial Worries
- CPFF Rates
- Libor-OIS
- Dollar: Early Trades
- WaMu and Icelandic Banks CDS Settlements
- The Long Term Perspective on the TED Ratio
- Carry Trade: GBP/JPY
- Why You Should Cut Your Losses Quickly: Kerviel Edition
- Carry Trade: AUD/JPY
- Carry Trade: EUR/JPY
- Libor-OIS
- H.4.1
- Repos Fails: Getting Worse
- IMF FX Swaps
- WaMu CDS Auction: Initial Results
- Libor-OIS
- Credit Crunch: Provisional International Banking Statistics
- Paulson on Lehman’s Rescue: “We Didn’t Have The Powers”
- Derivative Dribble
- Success: DTCC Completes Credit Event Processing for Lehman Brothers
- Fed Raises Interest Rates
- Libor-OIS
- #Links
- Mega-Merger
- Official Non-Event of the Day: Lehman CDS Settlement
- Why Was Lehman Brothers Allowed To Fail?
- World FX reserves look to be topping out: Reuters
- The Fed’s Latest Scam: MMIFF
- Libor-OIS
- #Links
- Bill Auction
- Libor-OIS, TED Spread Improving…
- Lehman CDS Settlement
- #Links
- Liquidity and Congestion
- France’s Dumbest Bank “Discovers” 600 million Euros Loss
- Hooray, TED Spread Drops to 399
- Extended Discount Window: $441 bn New Record
- Repo Fails
- ECB: Central Bank Funds Have Not Solved Problems
- CDS of the Day: Russia
- #Links
- Libor-OIS
- UBS
- Swiss Government Takes a 9.3% Stake in UBS
- ECB To Fund BBB- Junk
- Libor-OIS
- #Links
- Securitization: Not Guilty
- DTCC: 209 million Transactions, Last Friday
- Treasuries Sink
- #Links
- Sovereign CDS Update
- Crunch Hits Goldman Sachs
- Paul Krugman Wins Nobel Prize
- VaR
- “Unlimited” Dollar Liquidity
- Suspend VaR Immediately!
- Misconceptions About the Credit Default Swap Market
- Volatility Remains Elevated…
- Russian Oligarchs Lose $230 Billion
- Lehman CDS Auction: Final Result
- Lehman CDS Auction: Initial Results
- 401-Keg
- Morgan Stanley CDS
- Don’t Panic
- OIS-Libor
- Repos Fails
- #Links
- Is a Credit Default Swap (”CDS”) a Contract of Insurance?
- Records Everywhere
- PIMCO/CPFF
- AIG: Additional $37.8 bn Cash
- This Is Not Iceland
- #Links
- Fed $ Swaps Outstanding
- Quote of the Day
- U.K. To Recap Banks
- TAF Undersubscribed
- Super-SIV: It’s Alive
- Return of the Currency Peg
- Fed’s New Plan: Unsecured Loans
- A Strange Lender of Last Resort
- Fannie/Freddie CDS Auctions: Final Prices
- Fannie/Freddie CDS Auctions: Initial Results
- Carry Trade Bloodbath: AUD/JPY
- Fed: We Are Doing This ‘Cause We Are Tapped Out
- Fed To Pay Interest on Required and Excess Reserves
- TAF: Up to $900 bn by Year-End
- OIS
- #Links
- Hypo Big Loser: J.C. Flowers
- Euro Bailout: It’s Back on the Table
- Early Dollar Trades
- That Was Quick…
- #Links
- Forms of Federal Reserve Lending to Financial Institutions
- #Links
- Libor: Quote of the Day
- Liquidity
- OIS-Libor
- Gazumped !
- From AIG Blog Relations Dept
- Some Good News
- Fed “Other Loans” Jump to Record: $400 bn
- Rate Cut
- CDS of the Day: Landsbanki Islands hf
- Dollar
- OIS-Libor
- Nobel Economics Prize Forecast
- #Links
- Warren Buffett Bailout of the Day: GE
- Bailout: Europe Edition
- Seventeen Principles and One Hundred Forty Seven Subprinciples for Sound Liquidity Risk Management and Supervision
- International Transmission of Liquidity Shocks and Liquidity Spirals
- Some Lessons from the Financial Market Correction
- Mark-to-Market Relaxed
- Soros on Paulson
- The Housing Meltdown: Why Did It Happen In The United States?
- #Links
- CDS: Goldman Better, Morgan Worse
- Scorecard: Fed Edition
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- They Forgot Iceland
- Permanent Open Market Operations
- #Links
- Bailout: Latest
- N.Y. State to Regulate CDS as Insurance
- Why the RUSH ? Is It That Bad ?
- #Links
- Paulson’s Put Is the Right Thing To Do, BUT…
- Bailout: Dubai Edition
- Updated Bailout Plan and Links
- Paulson’s Put
- USSA: Your Debt Limit Is
- AIG and the Fed
- ABX: Extraordinary Value
- RTC 2.0
- Amazing Ben!
- Prediction Markets
- #Links
- State Street
- AIG Fed Line
- Yet Another TSLF Disaster
- Nuclear Option
- #Links
- SEC Statement on the Wisdom of the Crowds
- Ted Spread
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- TSLF Disaster
- Free Money for Uncle Sam ( Almost )
- AIG CDS
- “Supplementary” Financing Program
- Ted Spread
- AIG CDS
- #Links
- Unusual Step…
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- No Strippers at Fannie and Freddie CDS Auctions
- CDS
- #Links
- Nuclear Option
- LEH RIP
- CDS of the Day: Goldman Sachs
- Lehman: Counterparty Risk
- Rate Cut Coming
- Pre-Market
- Helicopter Ben
- Fed: Send Us Your Junk
- Dow Jones: Early Trade
- #Links
- Dollar Early Trades
- BofA and Merrill in Merger Talks
- Derivatives and Systemic Risk: Netting, Collateral, and Closeout
- What Happened to Liquidity when World War I Shut the NYSE?
- Structured Finance: Writedown Scorecard
- Bailout Weekend
- Fan and Fred Credit Event
- AIG CDS Worse Than Lehman
- Help, Is This True?
- Credit Default Swap Rates and Stock Prices
- #Links
- Mother of All Foreclosures: Dubai Edition
- GSE Credit Event: Victim Found
- Quote of the Day
- Rate Cut?
- Upfront for Lehman CDS
- Lehman Crashing Again
- #Links
- Lehman CDS
- My Word Is My Bond
- 05 Vintage ABX ?
- #Links
- Biil Gross Had a Good Day
- CDS: Lehman, WaMu
- OIS Futures: Slow Start
- Wisdom of the Crowds?
- Obama Crashes on Intrade
- Official: ’tis a “Credit Event”
- Fan and Fred: CDS Trigger Update
- U.S. Treasuries Open
- Bailout: Market Reaction
- Fan and Fred Conservatorship: Paulson’s Statement
- In Defense Of Credit Default Swaps
- Banking Crisis Solutions Old and New
- The Credit Crunch of 2007-2008: A Discussion of the Background, Market Reactions, and Policy Responses
- Fannie and Freddie: CDS
- Fannie and Freddie Bailout
- E-mini Euro Denominated S&P 500 Futures
- Dollar After Hours
- #Links
- Bubbles in Credit and Currency: How Hot Markets Cool Down
- #Links
- Coming Soon: OIS Futures
- Subprime: $1 Billion Auction Rate Securities Fraud
- #Links
- Out of Stock
- Fragile Finance
- Corrigan III
- #Links
- Containing Systemic Risk: The Road to Reform
- LIBOR
- #Links
- Picture of the Day: Share of US ABS CDO Notes Downgraded
- Credit Risk Transfer – Developments from 2005 to 2007
- What is TOP?
- Auctions of TSLF Options
- Fed: TAF Extended
- Payday: Pictures
- Merrill Number Crunching, Ultra Short Edition
- CDS Contracts Could Change
- ABX: Writedowns Picking Up
-
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jck [at]
aleablog [dot] com
October 8th, 2008 at 8:55 am
Am I reading this right then? The US government is short $267 billion of other currencies through short term futures and forwards?
October 8th, 2008 at 9:13 am
they sold USD to foreign central banks like the ECB and they bought FX currencies, this is done with swaps, the positions cancel out as the swaps terminate, there is no exchange risk.
for the mechanics, see this for more details:
http://www.aleablog.com/a/BasisSwap.pdf
part 3: CROSS-CURRENCY BASIS SWAPS ( wonkish…)
don’t panic, they aren’t speculating with your money.
October 8th, 2008 at 12:10 pm
don’t panic, they aren’t speculating with your money.
Well, at least not in that bucket…
October 8th, 2008 at 1:02 pm
right…i guess they have their hands full in other quarters.
October 8th, 2008 at 6:23 pm
Explanations: Report lines & T account flows
“Modern Money Mechanics” — Changes in Foreign-Related-Factors:
#41 & #38 SWAP LINES