# Fed gives money funds relief with short-term rate adjustments

> The Federal Reserve raised the interest rate paid on bank reserves by five basis points to 0.15% and lifted the overnight reverse repo rate to 0.05% from zero. The technical adjustments aim to keep the key overnight benchmark rate from falling too low.

- Date: 2021-06-16 · published 2021-06-16T12:00:00.000Z
- Category: macro · region US · magnitude low
- Page: https://feedsoft.ai/events/46779-fed-gives-money-funds-relief-with-short-term-rate-adjustments
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

These are technical money-market adjustments with little direct effect on feed commodity supply or demand, though they signal the Fed's shifting policy stance that supports the dollar.

## Read by commodity

- DXY: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2019-09-18 | [Fed cuts interest rates again, gives mixed signals on next move \| Financial Post](https://feedsoft.ai/events/56974-fed-cuts-interest-rates-again-gives-mixed-signals-on-next-move-financial-post.md) | +0.2% | -0.3% |
| DXY | 2024-04-01 | [Fed sees three rate cuts in 2024 but a more shallow easing path](https://feedsoft.ai/events/31391-fed-sees-three-rate-cuts-in-2024-but-a-more-shallow-easing-path.md) | -0.0% | +1.6% |
| DXY | 2024-04-29 | [Market trades with caution ahead of US Fed rate decision this week](https://feedsoft.ai/events/31036-market-trades-with-caution-ahead-of-us-fed-rate-decision-this-week.md) | -0.7% | -1.1% |
| DXY | 2026-01-28 | [Fed holds rates as window for another Powell cut begins to close - Moneyweb](https://feedsoft.ai/events/20965-fed-holds-rates-as-window-for-another-powell-cut-begins-to-close-moneyweb.md) | +0.4% | +0.3% |
| DXY | 2025-10-29 | [US Dollar Index roils after Fed delivers expected interest rate moves](https://feedsoft.ai/events/22617-us-dollar-index-roils-after-fed-delivers-expected-interest-rate-moves.md) | +1.0% | +0.5% |

## Sources

- reuters.com: https://www.reuters.com/business/fed-makes-technical-adjustments-keep-benchmark-rate-within-target-range-2021-06-16/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.