The Federal Reserve is expected tointervene in the government securities market to supply
temporary reserves indirectly via customer repurchase
agreements, economists said.
    Economists expect the Fed to execute 2.0-2.5 billion dlrs
of customer repos to offset pressures from the end of the
two-week bank reserve maintenance period today. Some also look
for a permanent reserve injection to offset seasonal pressures
via an outright purchase of bills or coupons this afternoon.
     The Federal funds rate opened at 6-3/8 pct and remained at
that level, up from yesterday's 6.17 pct average.
 Reuter
