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The Reserve Bank Conducts Market Operations in Order to Effect

Question 71

Multiple Choice

The Reserve Bank conducts market operations in order to effect its monetary policy objectives.Which of the following best describes the Reserve Bank's market operations?


A) Market operations may be conducted to neutralise official FX transactions.
B) Reserve Bank market operations target the overnight cash rate.
C) Market operations affect day-to-day system liquidity.
D) All of the given answers are correct.

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