While things go wrong for Jay Powell in repo, they are going right in housing.
Despite the name, the Fed doesn’t actually intervene in the US$ repo market. I know they called them overnight repo operations, but that’s only because they mimic repo transactions not because the central bank is conducting them in that specific place. What really happened was FRBNY allotting bank reserves (in exchange for UST, MBS, and […]
A eurodollar is more about the “euro” than the more obvious monetary denomination.
After constantly running through what the FOMC gets (very) wrong, let’s give them some credit for what they got right.
It’s hard not to think sometimes that maybe the conspiracy theorists are on to something here.
You know the story. When he finally gave in at the end of July, the Federal Reserve Chairman at first hinted it was a one-and-done insurance type of thing. Powell said it was nothing more than a mid-cycle adjustment, “not the beginning of a long series of rate cuts.”
Dogma said trade wars wouldn’t amount to much.
They remain just as confused as Richard Fisher once was.
The new program of massive QE has been ignored.
Maybe it was a sign of things to come, a warning how it wasn’t going to go as planned.
