Governor Waller suggests two significant changes to the Fed’s QT framework that effectively removes all obstacles to an extended QT. First, Waller suggests that the $2t in RRP balances should be consolidated with bank reserves when thinking of bank liquidity levels. This indicates that the Fed would be comfortable with bank reserve levels dropping below […]
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Yes, today is the day the Fed catches up with the money markets. Since the last Fed increase in the Fake Funds rate, which is used by absolutely no one except a few banks doing fake trades, the 13 week T-bill has risen by approximately 40 bp. The 4 wee…
Receiving a Michelin star is still the highest honor for a restaurant and more than 200 in the United States currently hold the distinction. Michelin-star restaurants cluster around the country’s biggest cities and most can be found in New York City. D…
The meteoric rise of ChatGPT has been a watershed moment for artificial intelligence as it enabled millions of users, regular people, to experiment with AI and witness its astonishing capabilities first-hand. While there are still limitations, ChatGPT …
This chart shows the increase in the national average price of a dozen Grade A eggs in the U.S. in 2022.
Powell Powell leading the way
Federal Reserve here to stay.
I’ve been writing for over a year about the economy rebalancing back to its pre-COVID trends. The massive fiscal expansion during COVID and the Fed’s accommodation of that spending via QE is what caused the spike in prices over the last 18 months. Yes, there were supply issues too but the size of the demand […]
As is so often the case for FOMC meetings, the market has moved to a critical technical inflection zone, prepared to go either way. In the very short run, today is the fourth day since the last cycle low, and the previous cycle lasted 4 days. The hour…
The rise of the podcast hasn’t just revolutionized the way in which people engage with prominent figures and how our media consumption is split up – as new data from Statista Advertising & Media Markets Insights reveals, ad-supported podcasting has lon…
The Fed meets this week and is widely expected to raise the Fed Funds rate by 0.25% to a range of 4.5% – 4.75%. The market has factored in a small probability that they do nothing and leave rates alone, but they’ll probably do what’s expected because they’ve spent the last couple of months preparing […]