Banks further reduce their borrowing from the Fed’s emergency loan window

Fed emergency loans decline in most recent week

WASHINGTON — Banks borrowed less from the Federal Reserve’s emergency lending program over the past week, providing further evidence that strains in the private credit markets are easing.

The Fed reported that daily borrowing from its emergency loan program averaged $13.77 billion for the week that ended Wednesday. That was down from average borrowing of $13.96 billion in the previous week.

At the height of the financial crisis, emergency borrowing from the Fed’s discount window exceeded $100 billion a day.