As the Treasury has ramped up debt issuance to rebuild its cash balance following the increase in the debt ceiling in July, it’s draining liquidity from other liabilities on the Fed’s ledger, like the central bank’s overnight reverse repurchase agreement facility and bank reserves. (Graeme Sloan/Bloomberg) Show Quick Read Summary is AI Generated. Newsroom Reviewed

Several participants at the Federal Reserve’s September policy meeting said it was important to continue monitoring money-market conditions and evaluate how close bank reserves are to their “ample” level, as the central bank continues to unwind its massive portfolio of securities.

The remarks come as prolonged funding pressures in US money markets, just as bank reserves held at the Fed are dwindling, are suggesting the cen

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