With the federal funds rate near zero, policymakers are evaluating options for providing additional monetary policy accommodation, including a tool known as yield curve control. We find that despite low nominal Treasury yields, some scope for additional accommodation remains should policymakers deem it appropriate. However, we argue that forward guidance about future interest rates could deliver much, though not all, of the accommodation of yield curve control.

The history of America’s earliest African American banks is something that is not widely known. These banks served as an important source of credit while also offering innumerable other benefits to the consumers and communities that they served. The latest volume of the Kansas City Fed’s historical book series details the stories and accomplishments of these bankers. By Tim Todd.

Please join the Urban Institute for a conversation with Dr. Lael Brainard, a member of the Board of Governors of the Federal Reserve System, who will discuss and respond to questions about the Federal Reserve’s proposals to update and strengthen Community Reinvestment Act (CRA) regulations.

Brainard has been a member of the Board of Governors of the Federal Reserve System since 2014 and previously served as undersecretary of the Treasury for International Affairs. In her current role, she has been coordinating the Federal Reserve’s work on modernizing the CRA.

Following Brainard’s remarks, Sarah Rosen Wartell, president of the Urban Institute, will moderate a conversation responding to the proposed rulemaking on the CRA with Laurie Goodman, vice president for housing finance policy at the Urban Institute; Noel Poyo, executive director of the National Association for Latino Community Asset Builders; and Ellen Seidman, nonresident fellow in...

Neobanks, or digital banks, are bank-like providers of financial services that operate through apps and aim to appeal to different consumer groups through innovative features and design. Whether or not neobanks evolve into full banks, they have the potential to affect the traditional banking model.

The Kansas City Fed offers free economic and personal finance resources for educators, bankers and consumers. We believe individuals of all ages who understand how the economy functions and know what tools are available make better financial decisions.

The country started seeing effects of the coronavirus pandemic immediately. Small businesses and nonprofits were among the first to voice concern and a need for funds.

Quickly the Federal Reserve Bank of Kansas City began to coordinate efforts to launch a special virtually conducted series of its signature program, Investment Connection. The purpose was to connect funders with nonprofits affected by COVID-19.

“It was important for the Kansas City Fed to expedite the Investment Connection programs during this unprecedented time,” said Tammy Edwards, Kansas City Fed senior vice president of Community Engagement and Inclusion and the director of the Bank’s Office of Minority and Women Inclusion. “This community development initiative assists organizations in providing essential services to the underserved and underrepresented.”

Tenth District community organizations affected by the coronavirus outbreak, with proposals that would receive...

You can add location information to your Tweets, such as your city or precise location, from the web and via third-party applications. You always have the option to delete your Tweet location history. Learn more

You can add location information to your Tweets, such as your city or precise location, from the web and via third-party applications. You always have the option to delete your Tweet location history. Learn more

In March, the coronavirus pandemic led to a sell-off in Treasury markets and a subsequent period of financial stress. I use one measure of Treasury market pressure, the G-spread, to gauge how liquidity in Treasury markets changed in response to the pandemic and the Federal Reserve’s interventions. I find that timely Federal Reserve interventions restored calm to the Treasury market, and that these interventions stand out in speed and scale compared with interventions in the early days of the 2007–08 financial crisis.

The Federal Reserve System invites you to virtually join the fifth annual Banking and the Economy: A Forum for Minorities in Banking. The forum is designed to gather high potential middle management to senior level minority leaders in the financial services sector and deliver industry, leadership and professional development experiences that will enhance their careers and networks.

In September 2008, the U.S. government took control of Fannie Mae and Freddie Mac, the two dominant entities in U.S. residential mortgage markets. The government placed Fannie and Freddie into a conservatorship, meant to be temporary to curtail the risk of financial contagion during the financial crisis, conserve the value of the companies, and return them to safe-and-sound condition. But as of mid-2020, the conservatorship persists. Fannie and Freddie together with other mortgage-finance institutions have been meeting several important goals over the past few years, arguably satisfying most households’ mortgage needs and, on balance, supporting financial stability. Even so, almost all policymakers, researchers, and industry advocates agree on the need to move to a system of mortgage finance in which the government plays a less direct role.

Jordan Rappaport reviews the current system of mortgage finance and analyzes the key issues policymakers face in...

The Kansas City Fed offers free economic and personal finance resources for educators, bankers and consumers. We believe individuals of all ages who understand how the economy functions and know what tools are available make better financial decisions.

As the coronavirus pandemic wreaks havoc on the U.S. economy, state and local governments will not be immune from the pain. In the near term, governments face liquidity challenges, as many tax deadlines have been postponed. In the longer term, governments will experience large revenue declines that may lead to significant budget cuts.

August 27, 2020 | The deadly outbreak that eventually killed tens of millions worldwide had a Kansas connection, and it struck as the Federal Reserve drove funding for World War I.