The size of the Fed’s foreign official repo pool fell below $200 billion last week for the first time since 2015.  We expect some additional shrinkage in the months ahead, with foreign central banks continuing to substitute Treasury bills for RRP balances in their liquidity portfolios.  The medium-term outlook is less certain.  By next year, the Fed may welcome growth in its non-reserve liabilities as its balance sheet balloons, and might be willing to consider more generous terms for the foreign pool.