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They do say that they have orgs wanting to invest which currently can't because they're at their $1bn limit and they've increased the limits on other funding options so it could just be then trying to maintain balance across all their cash sources.
Then again, with the markets doing what they've done and inflation kicking about I'm sure a fair few financial wizards will be uncovered as snake oil sellers.
rhowe
@Muc-ed-off
Last week’s news but interesting- https://www.sec.gov/rules/sro/occ-an/2022/34-95327.pdf
OCC filed advance notice with the SEC intending to increase its non-bank liquidity facility from 1 to 3 billion. It also seeks to remove OCC’s obligation to file advance notice to change its level of required aggregate commitments, instead allowing its Board of Directors to set via resolutions the level of aggregate commitments at a level no lower than its current $3 billion size.
So the people in charge of being prepared to bail out a failed US bank are saying they see the need to have access to more resource given the current situation. The good view is that they’re making sure they’re keeping updated and prepared for any eventuality; a bad view would be that they see heightened risk of a bank failing. Hopefully the former! 🤞