these are overnight loans that are intended to allow normal overnight financing to continue even if the markets siezed up because everybody is so panicked nobod

these are overnight loans that are intended to allow normal overnight financing to continue even if the markets siezed up because everybody is so panicked nobody wants to let loose of their cash. Yes, this means the Fed is very very worried about the state of the market, it means they think it's at risk of stopping normal operation. Maybe not ongoing crisis but they're worried about crisis in the near future. The fact that the stock market circuit breaker has been hit a grand total of once before, back when it used a different set of rules and was easier to hit, and then we've hit it twice in a week is pretty fucking bad news, if that sets the backstory for you at all.