The $3 trillion includes $1.37 trillion already borrowed in April. That implies additional borrowing of $1.63 trillion in May and June. May typically has light net new borrowing. May 2019 net borrowing totaled $67 billion.
The $3 trillion estimate is an increase of $3.06 trillion above the Treasury Department’s Q2 estimate that it posted in February.
See Liquidity Trader for ongoing in depth analysis and outlook.
Coronavirus pandemic has finally bitted deeply into the BRICs economic activity data
Term and Type: 105-Day Bill
CMB: Yes
High Rate: 0.115%
Lack of convincing decline in the rate of detected new cases and deaths worldwide.
New York | This week in The Institutional Risk Analyst, we ponder the state of the bezzle, that fluffy, frothy portion atop the political economy…
The market has sold off overnight again, but it’s trying to find its footing and hourly indicators are bullish.
The New York Fed today released an expanded set of Frequently Asked Questions regarding the Primary Market and Secondary Market Corporate Credit Facilities.
I am rescinding the comments I made last week about the long term trend. The Fed’s commitment to maintaining a bullish trend in stocks is now in doubt, and the long term indicators on the market index charts are ambiguous.
The outlook is rife with uncertainty. We don’t know when or if the Fed will re-deploy its tactical carpet bombing of deeply embedded, indigenous bearish forces.
It’s like the Viet Nam war. The Fed has overwhelming firepower, but it may not be committed to using it because of the astronomical long term cost fighting an entrenched enemy. We need to watch to the technical indicators closely to try to determine what each side is doing and will do, and which might have the upper hand.
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 $2.000B TIPS Purchase 2020-05-04 NYFed treasury securities operations
