Domestic Market Operations
The Bank implements monetary policy primarily by conducting temporary and permanent open market operations. By buying and selling government securities, the Bank affects the aggregate level of balances available in the banking system, and thus impacts the federal funds rate.

Temporary open market operations involve repurchase and reverse repurchase agreements that are designed to temporarily add or drain reserves available to the banking system.

Permanent open market operations involve the buying and selling of securities outright to permanently add or drain reserves available to the banking system.

The federal funds rate is the interest rate at which depository institutions lend balances at the Federal Reserve to other depository institutions overnight.
Federal Funds
Due to market disruptions and closures associated with Hurricane Sandy, the daily effective federal funds rate for Monday, October 29, 2012, is a volume-weighted average of overnight and two-day trades arranged by major brokers.

Federal Funds: Effective Rate vs. Target Rate

Note: The New York Fed discontinued publication of weekly averages of the federal funds rate as of June 30, 2004. The weekly average will continue to be available on Federal Reserve Statistical Release H.15 OFFSITE

Featured Updates
FAQs: Agency MBS Reinvestments and Treasury Rollovers »

FAQs: Overnight Reverse Repurchase Agreement Operational Exercise »

Open Market Operations: Transaction Data
Detailed data on open market, securities lending and foreign currency transactions-including, for each transaction, the date, amount, counterparty, price or interest rate paid or received, and the type and value of collateral or assets transferred. This information is provided in accordance with the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 and complements operational and holdings data also available on this website.

Fast Facts: Single-Tranche Term Repurchase Agreements »

FAQs: Agency MBS CUSIP Aggregation »
Domestic Open Market Operations During 2013
This report reviews the conduct of open market operations and other developments that influenced the System Open Market Account of the Federal Reserve in 2013. Highlighted are policies and operations conducted at the direction of the Federal Open Market Committee and resulting characteristics of the portfolio of domestic securities.
Released April 2014; 49 pages / 1230kb
Related External Content
Fed Education
Historical Data