Dollar Funding Stress Rises as SOFR-IORB Spread Hits Multi-Year High
A key indicator of U.S. dollar funding stress has surged to levels not seen since the early pandemic, raising questions about underlying liquidity conditions in the financial system. The spread between the Secured Overnight Financing Rate (SOFR) and the Interest on Reserve Balances (IORB) has climbed to about 32 basis points, the highest level since […]