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The Difference Between General Collateral Repo Rates and Special Rates
The reverse repo rate from the Fed is 30 basis points. Investors, money market funds can get 30 basis points risk free anytime they want now. So that's kind of how the Fed transmits policy that it interests on reserves,. But the RRP is more important since that's the one that we can all indirectly access. The treasury department issues new two year notes, three year notes or three year notes every month. There's a regular auction schedule for all us treasury issues. That's what they call the on the run treasury, you know, or the current issue. You can get in and out of those issues very, very quickly.