DVP rates and the October 2021 SOFR drop from 5 bps to 3 bps

The Secured Overnight Financing Rate (SOFR) fell from its customary 5 bps rate to 3 bps from October 19-21, and from 5 bps to 4 bps on October 25. This surprised some market participants who thought that the Federal Reserve’s Reverse Repo Facility (RRP) rate of 5 bps would be strong enough to keep SOFR at the 5 bp mark. Why did this happen?
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