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Over- and underbidding in central bank open market operations conducted as fixed rate tender

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Over- and underbidding in central bank open market operations conducted as fixed rate tender

Bindseil, Ulrich - 2004 - This version: February 2003

Open market operations play a key role in allocating central bank funds to the banking system and thereby to steer short-term interest rates in line with the stance of monetary policy. Many central banks apply so-called "fixed rate tender" auctions in their open market operations. This note...

Persistent link: https://www.econbiz.de/10010514262