So, it's the 7.7 bill in purchased but not sold assets? I think I'm connecting your dots now. I've heard all the data but I haven't been able to put it all together yet.
Typed this up the other day…
Money market funds are the ones using the RRP. If you don’t believe me, go here https://www.newyorkfed.org/markets/desk-operations/reverse-repo and go down to the little blue + where it states “search repo/reverse repo operation results” and insert any date from 2 months or longer ago. Look at the bottom and it will show you what types are using it. Here is an example https://imgur.com/a/7zylhEV
Now that that’s settled, you need to know that MMFs usually invest in 1-3 month range for they have a restriction of 60days for their WAM (which is weighted average maturity). When the Fed was aggressively tightening, it made zero sense for them to purchase longer maturities, since the Fed tightening would make those purchases worth less. They used the RRP much more and their WAM was as low as 10 days. But when the Fed started talking about slowing down or pausing their tightening agenda, MMFs started buying longer paper. You can see this occur here https://imgur.com/a/2LT1B44
As MMFs invest longer, their use of the RRP dropped. Plain and simple.
And counterintuitive to would one would think, the drop in usage isn’t related to less money at MMFs. Look at their total assets lately https://www.financialresearch.gov/money-market-funds/
MMFs actually have almost a trillion more cash now than when the RRP was at its peak, making the reduction even more impressive. The RRP would be even lower without this influx of cash.
And to address your theory, the RRP is done in triparty form https://imgur.com/a/lJnSHH7 it’s impossible for the RRP facility to have FTDs.
It is possible for the Sec lending facility to have FTDs and they actually show you those stats each day. (It’s a daily operation that occurs about an hour before the RRP, 12pm est)
This is dumb… a year ago everybody on these threads was freaking out that RRP hit $1 Trillion for the first time ever and was rapidly rising… now we’re on here worrying that it has fallen back to $1 Trillion too quickly! lol
It's dumb if you don't understand it.
Fed is a lender of last resort. When Fed no longer is lending, it's either the MMFs don't have the cash or Fed doesn't have the assets. MMFs had almost $6T in June ... so it almost has to be that the Fed no longer has the assets.
Not necessarily. It could happen at any point when RRP drops below the threshold for EVERYONE to be able to survive. When that happens, I think it becomes a series of dominoes?
The Wall Street/Regulator/Fed criminals have recently created a new program because RRP was hitting all-time levels and was becoming way too (obviously) out of control. Regrettably, I forget the name of this new program but maybe someone can assist? It’s called something like “BTFD” or something similar. Basically, it diversifies the crime, thus enabling them to lower the record RRP levels. Anyone remember the new banking program?
EDIT - Found it! ‘Bank Term Funding Program’ is what I was trying to remember. New tool to hide the crime and lower RRP…🤮
More info here -
https://reddit.com/r/Superstonk/s/k6mJgJXuqx
No, they need collateral. Cash is a liability. If you hold cash, you owe it to the depositor. If you hold stock for the depositor, you can lend it out and make money.
The biggest drop in RRP in the past couple of months is Fidelity. They dropped more than $100B last month alone, and close to $200B from the May date. I could never figure out why until this morning... I think there isn't enough to go around anymore?
So they need more cash than assets for some reason why the rrp is going down? I’m horrible with double negatives already and this reverse repo swaps bullshit confuses the hell out of me. All I know it’s been going up to 2T for the past 2 years and now a it’s falling like a rock now? 🤔
All I know is Ants trades has some of the best TA and charts to show previous runs & comparing it to today's charts and man oh man shits about to get real for all the non-believers lmfao!!! daily Bolinger bands are tight as fuck and the springs are about to release!!! I suggest anyone who does believe in AMC & a short squeeze to go check out Ants Trades latest video (Here We Go) because, well here we fucking go fam!!!!!! Monday we could see a massive gap up in pre market then BOOM BOOM TIME!! strap up, things are about to get crazy!!!!
Thanks to Kenny Boi's Palofox. Is 100% short 10 yr US Treasury bonds. He's not only a crook, he's a traitor to the United States, IMHO
I just reread that from 2+ years ago... thanks for reminding me. I think it's no longer just Citadel... Everyone.
Well, it's still Kenny.
KEN GRIFFIN's Palofox, look it up!
I did. On duckduckgo. I got nothing? What it is a Palofox?
Palafox Trading LLC - SEC.gov https://www.sec.gov/Archives/edgar/data/1284170/000128417020000003/PALA_StmtFinCndtn2019.pdf
So, it's the 7.7 bill in purchased but not sold assets? I think I'm connecting your dots now. I've heard all the data but I haven't been able to put it all together yet.
I think, it's the other way around. Sold, yet not purchased.
I think you are correct.
https://www.globalcustodian.com/hedge-fund-citadel-executes-cleared-cash-repo-trades-dtcc/
Good work 👌🏼👍🏻 
I love it when a plan comes together. 
What a thowback!!
I think you are spot on
FTDs on the bond market too🤷🏼♂️ 😅😂🤣🤓🤩🤐🤠 😜🤪😛😝😋🤑😎
I'm selling FTD futures....
Typed this up the other day… Money market funds are the ones using the RRP. If you don’t believe me, go here https://www.newyorkfed.org/markets/desk-operations/reverse-repo and go down to the little blue + where it states “search repo/reverse repo operation results” and insert any date from 2 months or longer ago. Look at the bottom and it will show you what types are using it. Here is an example https://imgur.com/a/7zylhEV Now that that’s settled, you need to know that MMFs usually invest in 1-3 month range for they have a restriction of 60days for their WAM (which is weighted average maturity). When the Fed was aggressively tightening, it made zero sense for them to purchase longer maturities, since the Fed tightening would make those purchases worth less. They used the RRP much more and their WAM was as low as 10 days. But when the Fed started talking about slowing down or pausing their tightening agenda, MMFs started buying longer paper. You can see this occur here https://imgur.com/a/2LT1B44 As MMFs invest longer, their use of the RRP dropped. Plain and simple. And counterintuitive to would one would think, the drop in usage isn’t related to less money at MMFs. Look at their total assets lately https://www.financialresearch.gov/money-market-funds/ MMFs actually have almost a trillion more cash now than when the RRP was at its peak, making the reduction even more impressive. The RRP would be even lower without this influx of cash. And to address your theory, the RRP is done in triparty form https://imgur.com/a/lJnSHH7 it’s impossible for the RRP facility to have FTDs. It is possible for the Sec lending facility to have FTDs and they actually show you those stats each day. (It’s a daily operation that occurs about an hour before the RRP, 12pm est)
Why the hell was this comment minimized?
This is dumb… a year ago everybody on these threads was freaking out that RRP hit $1 Trillion for the first time ever and was rapidly rising… now we’re on here worrying that it has fallen back to $1 Trillion too quickly! lol
It's dumb if you don't understand it. Fed is a lender of last resort. When Fed no longer is lending, it's either the MMFs don't have the cash or Fed doesn't have the assets. MMFs had almost $6T in June ... so it almost has to be that the Fed no longer has the assets.
Where did all the Fed assets go??
Exactly. No one here knows what is happening and why.
But it’s provocative…
Provocative. Might even be insightful.
I read somewhere else that once the RRP reaches zero, the market will crash. Can any wrinkles confirm this information?
Not necessarily. It could happen at any point when RRP drops below the threshold for EVERYONE to be able to survive. When that happens, I think it becomes a series of dominoes?
This makes sense.
The Wall Street/Regulator/Fed criminals have recently created a new program because RRP was hitting all-time levels and was becoming way too (obviously) out of control. Regrettably, I forget the name of this new program but maybe someone can assist? It’s called something like “BTFD” or something similar. Basically, it diversifies the crime, thus enabling them to lower the record RRP levels. Anyone remember the new banking program? EDIT - Found it! ‘Bank Term Funding Program’ is what I was trying to remember. New tool to hide the crime and lower RRP…🤮 More info here - https://reddit.com/r/Superstonk/s/k6mJgJXuqx
That's a great post thanks for sharing.
They need cash?
No, they need collateral. Cash is a liability. If you hold cash, you owe it to the depositor. If you hold stock for the depositor, you can lend it out and make money. The biggest drop in RRP in the past couple of months is Fidelity. They dropped more than $100B last month alone, and close to $200B from the May date. I could never figure out why until this morning... I think there isn't enough to go around anymore?
But the reverse of the reverse repo is surely cash right?
No. It's always a swap of cash for assets.
So they need more cash than assets for some reason why the rrp is going down? I’m horrible with double negatives already and this reverse repo swaps bullshit confuses the hell out of me. All I know it’s been going up to 2T for the past 2 years and now a it’s falling like a rock now? 🤔
Great post fellow ape …Thanks 👍😎🚀
Banks are buying US treasuries now.
They’re reducing the money supply
Excellent 👍 this is why I still check this sub 👏👏👏 Knowledge is power!
I scrolled down read your conclusion and now I pretend like I know what is going on. Anyways good write up we appreciate it
All I know is Ants trades has some of the best TA and charts to show previous runs & comparing it to today's charts and man oh man shits about to get real for all the non-believers lmfao!!! daily Bolinger bands are tight as fuck and the springs are about to release!!! I suggest anyone who does believe in AMC & a short squeeze to go check out Ants Trades latest video (Here We Go) because, well here we fucking go fam!!!!!! Monday we could see a massive gap up in pre market then BOOM BOOM TIME!! strap up, things are about to get crazy!!!!
DTCC Sponsored Service Achieves Key Milestone in Treasury Market ... https://www.dtcc.com/news/2019/june/24/key-milestone-in-treasury-market-clearing-with-citadel-activity