$2,900 And Counting, Even As Tariff Threats Abate. Something Else Is Brewing.

The retail crowd is quickly running out of time to stack.

Reverse Repos Down to $85B, TGA at $800B Flat

Net T-Bill issues for January was $190B, which has helped bring down the RRPs further to $85B now, but as long as the debt ceiling is not raised, net issuance will likely by zero to negative. Meaning, RRPs are likely to climb back up from here because there is nowhere else to put the cash. We've probably hit a low at $85B and as they head higher bank reserves will be under further pressure.

The TGA is steady at $800B, still about $100B higher than it was at the inauguration. I can't wait to see who and what tumors Musk and DOGE are going to resect next. We know that about 20K federal drones have accepted their generous resignation packages so far. כן ירבו as we say. The new bank reserves are published tomorrow and they should be even to down.