The amount of cash investors are parking at a major Federal Reserve facility surged above $1 trillion once again amid an overabundance of US dollars.

       Seventy-four participants on Thursday placed an unprecedented total of $1.087 trillion at the Federal Reserve’s overnight reverse-repurchase facility, in which counterparties like money-market funds can place cash with the central bank.

       That surpassed the previous all-time high volume of $1.04 trillion from July 30, New York Fed data show.

       The record is far from unexpected, but does once again bring into focus growing imbalances in front-end markets that have helped keep downward pressure on short-end rates.

       Market observers are betting that its popularity will likely increase further as the Treasury pays down its bill supply, while unwinding its cash pile to avoid breaching the debt ceiling.