Fed could cut interest on bank reserves, say minutes

 
 
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Wednesday November 20 2013
 
 
Breaking news
 
Fed could cut interest on bank reserves
 
The US Federal Reserve could cut the interest it pays to banks on their excess reserves in a dramatic new addition to the central bank's menu of options for easing monetary policy.

According to the minutes of its October meeting, most officials on the rate-setting Federal Open Market Commitee thought that such a move "could be worth considering at some stage" as a way to signal continued easy monetary policy after they start to slow asset purchases from $85bn a month.
 
 
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