Federal Reserve press conference, 2019-12-11 — Chair Jerome Powell

Question (Michael McKee, Bloomberg): The follow-up to that would be, where are we with the possibility of a standing repo facility?
Answer: So, on the standing repo facility, as you know, we’ve actually had a couple of meetings where we’ve discussed that. I think the standing repo facility is something that’ll take some time to evaluate and create the parameters of and put into place. At the moment what we’re focused on is, you know—we’re now focused on year-end. I should also mention that after the year-end, the sense of it is that as the underlying level of reserves moves up because of bill purchases, as that happens, there will come a time when it will be appropriate for overnight and term repo to gradually decline. We don’t know—we can’t know today what the timing of that will be, but that’s the way—that’s the way we see it going over time.