QE4Ever!

Discussion in 'Politics' started by g5000, Oct 18, 2019.

  1. g5000
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    g5000 Diamond Member

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    The New York Fed has been pumping Tens of Billions of dollars into the banking system for several weeks now. And they are re-expanding their balance sheet.

    All part of the fallout from trillion dollar deficits. Not enough liquidity in the system.

    I hope Deficit Donald has the courage to at least tweet a thank you to the Fed!

    New York Fed Injects $104.15 Billion in Short-Term Liquidity

    The Federal Reserve Bank of New York injected $104.15 billion in temporary liquidity into financial markets Thursday.

    The intervention came in two parts. One was via a term-repurchase-agreement operation that will last for 15 days that added $30.65 billion. The other was via a one-day repo operation that totaled $73.5 billion.

    Fed repo interventions take in Treasury and mortgage securities from eligible banks in what is effectively a loan of central bank cash, collateralized by dealer-owned bonds. Last month, the Fed ramped up its repo operations for the first time in over a decade to help tame spiking short-term borrowing costs.

    <snip>

    On Wednesday, the Fed also began buying large amounts of Treasury bills to help expand the size of its balance sheet as part of a longer-term solution for money-market volatility.
     
  2. andaronjim
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    andaronjim Gold Member

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    And how much was printed in the last admin? 4.5 trillion? yeah, Trump's is chump change to all that cash that depreciated the dollar.
     
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  3. g5000
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    g5000 Diamond Member

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    QE1, 2, and 3 added $2 trillion to the money supply.

    As for depreciation of the dollar, nope. In fact, Trump was recently whining about how strong the dollar is and was tantrum demanding the Fed weaken it.

    So...he should be tweeting a thank you to the Fed right about now...
     
  4. g5000
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    g5000 Diamond Member

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    Trump rips strong dollar

    “As your President, one would think that I would be thrilled with our very strong dollar. I am not!” he tweets.


    Now watch the pseudocons do a full Orwell and say a weak dollar is good.
     
  5. Rambunctious
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    Rambunctious Gold Member

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    Federal reserve kept the Kenyan's economy afloat.....they are trying to hinder Trump's but they can't...its too strong...and robust....
     
  6. g5000
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    g5000 Diamond Member

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    Trump's trillion dollar deficits are soaking up so much liquidity, there isn't anything left for the repo market. Even though Trump insults them at every turn, the Fed still stepped in to save his ass.

    What? No thank you, Donald??
     
  7. Moonglow
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    Moonglow BANNED

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    Yeah that is why the feds and Trump want a hundred year T-bill..
     
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  8. g5000
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    g5000 Diamond Member

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    Eventually, all those trillions of dollars the Fed has pumped into the system will start to move around, pick up velocity.

    THEN we will see inflation.

    I explained it all in my Federal Reserve Bond Bubble Doomsday Machine topic.
     
  9. AzogtheDefiler
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    AzogtheDefiler The Pale Orc Gold Supporting Member Supporting Member

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    Think about it. The USD is like crack. Everyone is addicted to it. Globally.
     
  10. Moonglow
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    Moonglow BANNED

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    How else do you get an innocent price and tax increase?
     

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