Fed’s ON RRPs Plunge to $292 Billion, -$2 Trillion from Peak, on the Way to Near-Zero, and Nothing Has Blown Up Yet

ON RRPs, or Overnight Reverse Repurchase agreements, on the Fed’s balance sheet fell to $292 billion today, the lowest since May 2021, down by over $2 trillion from the $2.3 trillion range in May 2022 through June 2023, and down by $2.26 trillion from the absolute peak at the end of December 2022.