Under the Open Market Operations section in 6.5.3 where is says for exam purposes FOMC typically trade not the unique securities traded during a economic catastrophe. Can you expand on this with an example please. I am a bit confused with this wording, thank you.
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Hey, @Rose_Braun, I am happy to clarify. It is saying it is best to know what the FOMC typically trades (often Treasury securities and prime banker’s acceptances), as opposed to the unique situations (like the COVID-19 crisis) where the securities by the FOMC have expanded. So, remember that the FOMC typically buys and sells certain types of securities—most often Treasury securities and prime banker’s acceptances. Please let me know if you have any more questions! Thank you. - Brenden
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