Fed Drains $351 Billion in Liquidity from Market via Reverse Repos, as Banking System Creaks under Mountain of Reserves

This morning, the Fed sold $351 billion in Treasury securities via overnight reverse repos to 48 counter parties, thereby blowing past the brief spike at the end of March 2020, and more than replacing yesterday’s $294 billion in Treasury securities that it has sold via reverse repos to 43 counterparties and that matured and unwound this morning.

 

 

 

https://wolfstreet.com/2021/05/20/fed-drains-351-billion-in-liquidity-from-market-via-reverse-repos-as-banking-system-creaks-under-mountain-of-reserves/