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WASHINGTON, May 11 (Reuters) - The U.S. Federal Reserve on Thursday said it would hold a test operation of its so-called term deposit facility on May 18, offering to pay a floating rate on seven-day deposits of up to $1 billion per institution.
The Fed said it planned to conduct one similar test operation of the term-deposit facility per quarter in 2017.
The test operation in May would have an early withdrawal feature, the Fed said. (Reporting by Jason Lange; Editing by Chizu Nomiyama)