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Fed to increase frequency of dollar transactions with other central banks

Fed will provide daily swap line operations with five other central banks

The Federal Reserve said Friday it would ramp up a program with five other foreign central banks to increase the frequency of operations that are designed to make US dollars available overseas at near-zero interest rates.

The Fed initially unveiled these “swap” lines with five central banks in Canada, Europe and Japan on Sunday. The central banks said Friday they would conduct seven-day maturity operations daily rather than weekly, and that they would continue to offer an 84-day maturity operation weekly.

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