New York Fed Halted RMP Program for Month Amid Leaner Balance Sheet Push

The New York Fed has announced that it will not conduct any Treasury security purchases under the Reserve Management Purchases (RMP) program for the month from August 14 to September 14. This is the first pause in the RMP program since its restart.

As of now, the New York Fed has made a cumulative $338.4 billion in asset purchases through the RMP program over the eight months since it was restarted.

New Fed chair Kevin Warsh has emphasized his preference for a leaner Fed balance sheet, which may be contributing to this decision.