Fed Reverse Repo Usage Falls to $700M With 2 Counterparties

The RRP facility has faded to a rounding error, and the counterparty count matters more than the dollar figure: with only two participants, the tool is no longer functioning as a broad liquidity-absorption mechanism. That leaves the Fed with a thinner buffer for draining excess cash, and pushes more of that cash toward Treasury bills and other front-end collateral. Whether usage stabilizes at these levels or grinds toward zero is the open question, since it shapes how much money-market pressure shows up elsewhere.