NY Fed accepts $104.00M of $104.00M in bids at O/N repo op
TL;DR
The New York Fed accepted all $104 million in bids at an overnight repo operation to manage liquidity and keep interest rates within the target range, using tools like the SRF and ON RRPs to stabilize markets.
Tags
The New York Fed’s Open Market Trading Desk executed an overnight (O/N) repurchase agreement operation on March 10, 2026, accepting $104.00 million of the $104.00 million in bids submitted by eligible counterparties. The operation, part of the Federal Reserve’s routine liquidity management, aims to maintain the federal funds rate within the target range established by the Federal Open Market Committee (FOMC).
The transaction was conducted via a multiple-price auction format, with bids submitted by primary dealers and other authorized institutions. All propositions were accepted at their respective bid rates, reflecting strong demand for short-term liquidity. The weighted-average award rate and specific security-type breakdowns will be published in the Desk’s post-operation summary, as standard practice.
This operation aligns with the Fed’s broader framework for managing short-term interest rates, which includes tools such as the Standing Repo Facility (SRF) and overnight reverse repos (ON RRPs). The SRF, with a minimum bid rate of 5.50% and an aggregate limit of $500 billion, serves as a ceiling for overnight rates, while ON RRPs act as a floor, ensuring rates remain within the FOMC’s target range of 3.50%–3.75%. Recent liquidity dynamics, including year-end shifts and seasonal factors, have highlighted the importance of these facilities in stabilizing money markets.
The New York Fed’s operations are transparent, with detailed results released quarterly and anonymized data made public after two years. This auction underscores the Fed’s commitment to smooth market functioning and effective monetary policy transmission.
(https://www.newyorkfed.org/markets/desk-operations/repo): New York Fed Markets Group, repo operations.
(https://www.newyorkfed.org/markets/repo-agreement-ops-faq): New York Fed SRF FAQs.
(https://wolfstreet.com/2026/01/05/feds-standing-repo-facility-srf-drops-to-zero-from-75-billion-on-the-last-balance-sheet-as-yearend-liquidity-turmoil-dissolves/): Wolf Street analysis of Fed balance sheet movements.
