Logan: The voluntary central clearing mechanism can enhance the operational efficiency of the Federal Reserve

According to Jinshi, Dallas Federal Reserve President Logan stated that if the Federal Open Market Committee conducts open market operations through a voluntary central clearing mechanism, it will help improve the efficiency and effectiveness of operations and enhance the stability of the U.S. financial markets.

She pointed out that the relevant arrangements could improve the use of Federal Reserve tools, such as the standing repo facility, which is designed to provide liquidity to eligible financial institutions, but the current market usage rate remains relatively low.