It's official: at exactly 1:15pm today, the NY Fed reported that for the first time ever, 86 counterparties parked over $1 trillion in reserves at the Fed's Reverse Repo Facility for overnight 'safekeeping' and collecting a nice, fat yield of 0.05% - representing hundreds of millions in absolutely free money as these are reserves that the Fed has previously handed out to banks - for free - who then turned around and handed it right back to the Fed where it collected a small but nominal interest. {chart} Of course, it is month-end (if not quarter-end) so we do get some window-dressing but even without it, it's only ... (full story)