Thursday, March 1, 2012

U.S. Fed balance sheet shrinks in latest week

(Reuters) - The U.S. Federal Reserve's balance sheet shrank in the latest week, Fed data released on Thursday showed.

The Fed's balance sheet - a broad gauge of its lending to the financial system - stood at $2.908 trillion on Feb. 29, down from $2.915 trillion on Feb. 15.

The Fed's holdings of Treasuries totaled $1.662 trillion as of Wednesday, Feb. 29, versus $1.657 trillion the previous week.

The Fed's overnight direct loans to credit-worthy banks via its discount window averaged $19 million a day during the week versus $4 million a day in the previous week.

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