NY Fed friday reported they accepted just over $1 trillion in daily reverse repo operations to 86 bidders. This was the first time the NY Fed had accepted over $1 trillion. Overnight reverse repo provides a floor under overnight interest rates by offering a broad range of financial institutions that are ineligible to earn interest on reserve balances (IORB), an alternative risk-free investment option.

NY Fed friday reported they accepted just over $1 trillion in daily reverse repo operations to 86 bidders.  This was the first time the NY Fed had accepted over $1 trillion.  Overnight reverse repo provides a floor under overnight interest rates by offering a broad range of financial institutions that are ineligible to earn interest on reserve balances (IORB), an alternative risk-free investment option.