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Journal Article
Federal Reserve: The Fed's Dollar Liquidity Swap Lines
The World Health Organization declared COVID-19 a pandemic on March 11, 2020, and fear and uncertainty permeated daily life. The global economy was not immune from the panic. Dollars were quickly becoming scarce: Global trading of the currency ground to a halt, and since dollars were about the safest asset available, those who had them were not about to part with them. On top of that, a spike in demand by those seeking the safety of dollars led to a rapid increase in price. But the dollar was the world's dominant currency and medium of exchange. Without it, banks around the world wouldn't be ...