It barely rated notice, not even a mention. On Saturday, March 7, just before all Hell broke loose, Lebanon announced it wouldn’t be repaying a $1.2 billion Eurobond issue which was coming due right on March 9. Normally people only notice this tiny country for some terrorist action or recall much about it beyond the […]
The lesson of it all? The lesson is that lessons are not being learned. Of course the human species has an ingrained problem: We are all born with a blank sheet and […]
CUSIP: 912796TZ2Term and Type: 79-Day BillCMB: YesOffering Amount: 20 BillionAnnouncement Date: 03/17/2020Auction Date: 03/19/2020Issue Date: 03/24/2020Maturity Date: 06/11/2020PDF | XML
Where all that Fed cash is going, and where the market is going today.
Last week’s indications that gold was going higher failed miserably. A collapsing credit bubble takes no prisoners. When the margin man comes to your door,…
“It is not learning, grace nor gear Nor easy meat nor drink But bitter pinch of pain and fear That makes creation think” They Told…
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.
The Fed unveiled what was supposed to be shock and awe. Instead, it was the predictable series of upsizing the bazookas, monetary armaments in name only. I’ll write it again: there is no money in monetary policy. Central banks are not central. That was the primary lesson of September’s repo rumble, and not for the […]
KISS. Keep it simple stupid. Mella has perfected the art. My turn to give it a shot. Why? Because markets are very complicated and uncertain right now and when things are complicated […]
When the Fed first dropped its biggest Stupid Bomb in history announcing that it would offer a cool trillion a week in term repos, I warned that it was the wrong medicine for the wrong disease and that there would be few takers.
Little did I suspect.