The best theory I've heard so far to explain last week's repo rate spike and the Fed's intervention is that a ton of institutions are holding cash as a required reserve on various levered Treasury bets and they refuse to let go even overnight--causing a lack of reverse repo demand that forced the Fed to come in. So the repo market spike doesn't indicate a lack of liquidity per se but just a result of excess global demand for USD to offset the Treasury bet. The only solution to this, obviously, would be for the Fed to lower rates.
This is just chatter, but I'm curious if anyone else has heard such a theory.
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