Friday, October 17, 2008

Unused Cash Piles Up

Yesterday NPR's Market Place reported a large pile of cash being unused at the Federal Reserves . Known as "reserve balances", this is cash parked in the Reserve by US banks. Last week they hit historic highs. After 9/11(2001) the unused cash amounted to $67 B. In the last few weeks, it has gone from $175 B. to $265 B. That B. for billioin.

tc

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