Why the Fed may soon stop pulling money out of the financial system

1. Federal Reserve may halt balance sheet reduction if liquidity decreases. 2. U.S. debt ceiling raised by $5 trillion, increasing Treasury market borrowing. 3. Demand for Fed's overnight reverse repo facility has fallen significantly. 4. Pressure on money-market rates may affect market liquidity this September. 5. Longer-duration Treasury yields are rising amidst global bond sell-off.