The rapid recovery phase will prove dreadfully short-lived. Here’s why the next decline could be even worse than the initial COVID crash.
IMF published updated forecasts this week, and here the summary:IMF has stopped doing 5 year forecasts this April, due to uncertainty induced by the COVID19 pandemic. Looking at the longer run effects of the pandemic, based on October 2019 (pre-Co…
First they dismiss you as a conspiracy theorist then they join you. The secret is out, the Fed is busted: Central banks have distorted asset prices far above the economy. I’ve been […]
Day before it sold off for those reasons. So what’s the deal?
Fed QE: $8.801B Coupon Purchase 2020-06-26
Back in the middle of 2018, this kind of thing was at least straight forward and intuitive. If there was any confusion, it wasn’t related to the mechanics, rather most people just couldn’t handle the possibility this was real. Jay Powell said inflation, rate hikes, and accelerating growth. Absolutely hawkish across-the-board.And yet, all the way […]
Dicsucs.
Meanwhile, we have an apparently bullish setup in the 5 day cycle oscillators after a powerful NY 4 AM rally. Why then? Europe?
But if it doesn’t clear 3050, it don’t mean a thang.
Monetary policy can be implemented through outright purchases or sales of securities, which permanently changes the size of the Federal Reserve’s System Open Market Account (SOMA) portfolio.
Fed QE: $1.731 B Coupon Purchase 2020-06-25 NYFed treasury securities operations
Once you allow your economy to become dependent on extremes of debt, leverage, inequality, legalized looting, monopoly, pay-to-play politics and speculative asset bubbles, a depression is inevitable.