$50 billion was borrowed from the Fed’s lender of last resort today that’s 10% of its entire $500 billion emergency facility used in a single day. Which bank blew up?




Municipal Liquidity Facility
The Federal Reserve established the Municipal Liquidity Facility to help state and local governments better manage cash flow pressures in order to continue to serve households and businesses in their communities. The facility was designed to purchase up to $500 billion of short term notes directly from U.S. states (including the District of Columbia), U.S. counties with a population of at least 500,000 residents, and U.S. cities with a population of at least 250,000 residents. Eligible state-level issuers were able to use the proceeds to support additional counties and cities. In addition to the actions described above, the Federal Reserve will continue to closely monitor conditions in the primary and secondary markets for municipal securities and will evaluate whether additional measures are needed to support the flow of credit and liquidity to state and local governments.

https://www.federalreserve.gov/funding-credit-liquidity-and-loan-facilities.htm
https://www.congress.gov/crs_external_products/R/PDF/R44185/R44185.12.pdf