BusinessAugust 17, 2026

repo

REE-poh

Definition

A financial transaction known as a repurchase agreement where one party sells securities to another with a commitment to buy them back at a higher price later, essentially acting as a short-term collateralized loan.

Etymology

The word is a clipped, informal shortening of the phrase 'repurchase agreement'. It emerged in financial jargon to describe the practice of securing funds through the temporary sale of assets.

In the news

In the article, repo markets are described as the source of short-term financing that allows hedge funds to use significant leverage to amplify the returns of their basis trades.

US government bond market selloff opens lucrative trading opportunities

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Crypto Briefing

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