An overabundance of cash in U.S. interest-rate markets has for the first time ever pushed the amount that investors are parking at a major central bank facility to more than $1 trillion.
Eighty-six participants on Friday placed an unprecedented total of $1.04 trillion at the Federal Reserve’s overnight reverse repurchase facility, in which counterparties like money-market funds can place cash with the central bank. That surpassed the previous all-time high volume of $991.939 billion from June 30, New York Fed data show.
