The Federal Reserve's FIMA repo facility was still not used last week, indicating that Japan did not utilize this tool to support the yen.

The Federal Reserve's rarely used liquidity tool did not see any operations last week, further indicating that Japan did not utilize this tool in its recent efforts to support the yen. Meanwhile, foreign monetary authorities deposited more cash with the Federal Reserve. According to the Fed's latest data, as of the week ending August 12, the average balance of the foreign and international monetary authorities' repurchase agreement mechanism was zero. During the same period, the usage of the Fed's foreign reverse repurchase funding pool increased by approximately $40 billion, reaching $357 billion, marking the highest level since November 5 and the largest weekly increase since November 2022. Non-U.S. entities can deposit overnight funds in this pool and earn interest at the market rate, which is currently 3.5%.