New York Fed met with banks over key lending facility, FT reports

(Reuters) -New York Federal Reserve President John Williams met with Wall Street banks this week to discuss a key short-term lending facility, the Financial Times reported on Friday, amid signs of tighter market liquidity.

“President Williams convened the New York Fed’s primary trading counterparties (primary dealers) to continue engagement on the purpose of the standing repo facility as a tool of monetary policy implementation and to solicit feedback that ensures it remains effective for rate control,” a New York Fed spokesperson told the newspaper.

The New York Fed did not immediately respond to Reuters request for comment.

The meeting took place on the sidelines of the Fed’s annual Treasury market conference on Wednesday, the FT said.

Roberto Perli, the official responsible for impl