DEFINITION of 'Federal Reserve Bank Of New York'

The Federal Reserve bank that is responsible for the second district and is located in New York City. The Federal Reserve Bank of New York's territory includes parts of the states of New Jersey and Connecticut, as well as the entire state of New York. It is also responsible for Puerto Rico and the U.S. Virgin Islands.


The Federal Reserve Bank of New York is the largest in of the 12 Reserve banks in the Federal Reserve System in terms of asset value.

BREAKING DOWN 'Federal Reserve Bank Of New York'

The Federal Reserve Bank of New York is responsible for executing the central bank's monetary policy by reviewing price inflation and economic growth, and by regulating the banks within its territory. It provides cash to banks within its district, as well as monitoring electronic deposits. The president of the Federal Reserve Bank of New York, along with the presidents of the other Banks and the seven governors of the Federal Reserve Board, meet to set interest rates every six weeks. This is referred to as the Federal Open Market Committee (FOMC).


Bank notes printed by Federal Reserve Bank of New York are denoted by the mark "B2", which represents the second district ("B" is also the second letter of the alphabet).

RELATED TERMS
  1. Federal Reserve Bank Of Dallas

    The Federal Reserve Bank located in Dallas, which is responsible ...
  2. Federal Reserve Bank Of Chicago

    The Federal Reserve Bank responsible for the seventh district ...
  3. Federal Reserve Bank Of Cleveland

    The Federal Reserve Bank responsible for the fourth district. ...
  4. Federal Reserve Bank Of Kansas ...

    The Federal Reserve Bank responsible for the 10th district, located ...
  5. Federal Reserve Bank Of Minneapolis

    The Federal Reserve bank located in Minneapolis, Minn., which ...
  6. Federal Reserve Bank Of Atlanta

    The Federal Reserve bank responsible for the sixth district and ...
Related Articles
  1. Insights

    Regional Banks Give The Fed A National Perspective

    We all know that the Federal Reserve utilizes monetary policy to control the economy, but what do the 12 regional Federal Reserve Banks do?
  2. Trading

    Understanding the Federal Open Market Committee

    The Federal Open Market Committee is the branch of the Federal Reserve Board that determines monetary policy.
  3. Insights

    What's the 1913 Federal Reserve Act?

    The 1913 Federal Reserve Act was a pivotal congressional act that helped establish the Federal Reserve System as it exists today. It is one of the United States financial system’s most influential ...
  4. Personal Finance

    Explaining the Reserve Ratio

    Reserve ratio is the amount of cash a bank must keep in its bank vaults or deposit into a central, governing bank.
  5. Investing

    How New York Became the Center of American Finance

    While New York is the undisputed center of American finance, it wasn't always that way. Here's a look at how the city achieved its dominant position.
  6. Insights

    New York's Economy: The 6 Industries Driving GDP Growth

    Learn about the six most influential industries in New York, the most economically productive city in the country, and home of Wall Street and Fifth Avenue.
  7. Personal Finance

    Explaining the Federal Discount Rate

    The federal discount rate is the rate at which eligible banks or other depository institutions can borrow funds from a Federal Reserve bank.
  8. Personal Finance

    What Does a Central Bank Do?

    A central bank oversees a nation’s monetary system.
  9. Personal Finance

    How the Federal Reserve Affects Your Mortgage

    The Federal Reserve can impact the cost of funds for banks and consequently for mortgage borrowers when maintaining economic stability.
RELATED FAQS
  1. What is the structure of the U.S. Federal Reserve Bank?

    Wonder how the U.S. Federal Bank began and how it works today? Learn how this complex system is structured and how it works ... Read Answer >>
  2. Who determines the reserve ratio?

    Understand what the Federal Reserve is and what it regulates in the U.S. economy. Learn about the reserve ratio and how the ... Read Answer >>
  3. What do banks do to control the bank reserve?

    Understand what the Federal Reserve does in order to expand or contract the economy. Learn what depository institutions can ... Read Answer >>
  4. How is the Federal Reserve audited?

    Learn how the Federal Reserve gets audited. Due to gridlock, the Federal Reserve has been forced to take on the role of stimulating ... Read Answer >>
  5. What are the implications of a high Federal Funds Rate?

    Learn the implications of a high federal funds rate, which include constriction of the money supply, a stronger dollar and ... Read Answer >>
Hot Definitions
  1. North American Free Trade Agreement - NAFTA

    A regulation implemented on Jan. 1, 1994, that eventually eliminated tariffs to encourage economic activity between the United ...
  2. Agency Theory

    A supposition that explains the relationship between principals and agents in business. Agency theory is concerned with resolving ...
  3. Treasury Bill - T-Bill

    A short-term debt obligation backed by the U.S. government with a maturity of less than one year. T-bills are sold in denominations ...
  4. Index

    A statistical measure of change in an economy or a securities market. In the case of financial markets, an index is a hypothetical ...
  5. Return on Market Value of Equity - ROME

    Return on market value of equity (ROME) is a comparative measure typically used by analysts to identify companies that generate ...
  6. Majority Shareholder

    A person or entity that owns more than 50% of a company's outstanding shares. The majority shareholder is often the founder ...
Trading Center