US government is injecting billions of dollars every day

[Parker99]

What is this I'm reading the US government is injecting billions of dollars every day into the system.

Where is this money going and is it even legal?

 

[JGalt]

It's called "quantitative easing". The Federal reserve turns it on or off, in order to regulate the economy.

The Federal Reserve is stuck in quantitative-easing hell

 

[Pogo]

It's called "quantitative easing". The Federal reserve turns it on or off, in order to regulate the economy.

The Federal Reserve is stuck in quantitative-easing hell

Thank you for making some modicum of sense out of an OP that gave no clues what it was babbling about.

Who knows if it's what he had in mind but useful nonetheless.

 

[william the wie]

With China in the tank and already printing a trillion yuan to offset the current effects of the corona virus, there are lots of data that we will see lots of QE here in the US

 

[Crepitus]

What is this I'm reading the US government is injecting billions of dollars every day into the system.

Where is this money going and is it even legal?

They are propping up.the stock market, and most of it is going directly into the pockets of the already wealthy.

 

[Penelope]

The economy is no way the way tramp described in the sotu speech. Its far worst than what he brags about.

 

[Parker99]

It's called "quantitative easing". The Federal reserve turns it on or off, in order to regulate the economy.

The Federal Reserve is stuck in quantitative-easing hell

Thank you for making some modicum of sense out of an OP that gave no clues what it was babbling about.

Who knows if it's what he had in mind but useful nonetheless.

Mass media used the words injecting billions of dollars and word repo.

Where where you these months?

What the mass media did not explain is injecting billions into the stock market or the banks? And is there any interest? Or is it free government hand outs to the banks or the stock market.

Is some one going to pay the government back or is it free government hand outs to the banks or the stock market.

And what going on with the stock market or the banks that need all this money.

 

[Toddsterpatriot]

It's called "quantitative easing". The Federal reserve turns it on or off, in order to regulate the economy.

The Federal Reserve is stuck in quantitative-easing hell

Thank you for making some modicum of sense out of an OP that gave no clues what it was babbling about.

Who knows if it's what he had in mind but useful nonetheless.

Mass media used the words injecting billions of dollars and word repo.

Where where you these months?

What the mass media did not explain is injecting billions into the stock market or the banks? And is there any interest? Or is it free government hand outs to the banks or the stock market.

Is some one going to pay the government back or is it free government hand outs to the banks or the stock market.

And what going on with the stock market or the banks that need all this money.

Is some one going to pay the government back

A repo is a fully collateralized usually overnight, loan.
Some of these recent repos are 2, 3 or up to 6 weeks.

or is it free government hand outs to the banks or the stock market.​

Not a handout, never free.
​

And what going on with the stock market or the banks that need all this money.​

New liquidity rules cause banks to hold higher levels of reserves.
​

And is there any interest?​

Lately, between 1.5% - 1.6% APR.​

 

[Pogo]

It's called "quantitative easing". The Federal reserve turns it on or off, in order to regulate the economy.

The Federal Reserve is stuck in quantitative-easing hell

Thank you for making some modicum of sense out of an OP that gave no clues what it was babbling about.

Who knows if it's what he had in mind but useful nonetheless.

Mass media used the words injecting billions of dollars and word repo.

Where where you these months?

What the mass media did not explain is injecting billions into the stock market or the banks? And is there any interest? Or is it free government hand outs to the banks or the stock market.

Is some one going to pay the government back or is it free government hand outs to the banks or the stock market.

And what going on with the stock market or the banks that need all this money.

You gave no clue at all what in the fuck you were talking about. "What is this I'm reading"? Who the fuck knows what you're reading? How would we? "The system"? What system?

 

[Parker99]

The economy is no way the way tramp described in the sotu speech. Its far worst than what he brags about.

I think most people who study economics in school and get a master to work for the government say this and that to Trump just get caught up on stock market and unemployment and that is it And any thing else don't matter.

So yes the unemployment is really low now so good job Trump but the unemployment has always gone any where from 3% to 6% looking at US history. Other than recessions than shoots up to 10% to 14%

 

[Parker99]

Fed to conduct repo operation again tomorrow, will inject up to $75B into money markets



Now it is the money markets!! I thought it was the banks?

 

[Toddsterpatriot]

Fed to conduct repo operation again tomorrow, will inject up to $75B into money markets



Now it is the money markets!! I thought it was the banks?

A repo is when a bank gets a short term loan from the Fed.

 

[Parker99]

Fed to conduct repo operation again tomorrow, will inject up to $75B into money markets



Now it is the money markets!! I thought it was the banks?

A repo is when a bank gets a short term loan from the Fed.

Okay but just to be clear these repos ( short term loans ) are for banks and is not going to business or stock market.

Unless the quantitative easing are going to the business and stock market ( investors and stockholders) and this is what some people are talking about.

 

[Toddsterpatriot]

Fed to conduct repo operation again tomorrow, will inject up to $75B into money markets



Now it is the money markets!! I thought it was the banks?

A repo is when a bank gets a short term loan from the Fed.

Okay but just to be clear these repos ( short term loans ) are for banks and is not going to business or stock market.

Unless the quantitative easing are going to the business and stock market ( investors and stockholders) and this is what some people are talking about.

Okay but just to be clear these repos ( short term loans ) are for banks and is not going to business

Banks are businesses.

 

[22lcidw]

What is this I'm reading the US government is injecting billions of dollars every day into the system.

Where is this money going and is it even legal?

They are propping up.the stock market, and most of it is going directly into the pockets of the already wealthy.

Let it collapse.then we all will live within our means. We do live off of other people you know. All of those work slaves overseas is just one part of it.

 

[Parker99]

There seems to be some confusion with this thread. I think there is two things we are talking about here.

In the news articles and videos posted here this is repos ( short term loans ) for banks. And like others here say not free money it is short term loans. So the repo is money the banks need now.

Some thing happen with new rule and banks where holding cash and did not want to give loans to people and businesses and banks did not want to give money to other banks and this could have economic problems.

So the answer was this repos ( short term loans ) for banks so banks can continue doing what you do best.

Some people fear banks saw toxic loans from people, businesses and investors and did not want to give loans to the people, businesses and investors so banks where holding cash. And the fed had to come with this repo to get the banks to give out loans to people, businesses and investors.


Well quantitative easing is some thing else and this is what we may be hearing in the news when we hear fed injecting money into the market. So if the fed is injecting money using quantitative easing not repo and bypassing banks and giving money to investors and stockholders. So this is other thing and have nothing to do with the repos for the banks.

So if this quantitative easing is going on to investors and stockholders is that free money or is it loans?

 

[Toddsterpatriot]

There seems to be some confusion with this thread. I think there is two things we are talking about here.

In the news articles and videos posted here this is repos ( short term loans ) for banks. And like others here say not free money it is short term loans. So the repo is money the banks need now.

Some thing happen with new rule and banks where holding cash and did not want to give loans to people and businesses and banks did not want to give money to other banks and this could have economic problems.

So the answer was this repos ( short term loans ) for banks so banks can continue doing what you do best.

Some people fear banks saw toxic loans from people, businesses and investors and did not want to give loans to the people, businesses and investors so banks where holding cash. And the fed had to come with this repo to get the banks to give out loans to people, businesses and investors.


Well quantitative easing is some thing else and this is what we may be hearing in the news when we hear fed injecting money into the market. So if the fed is injecting money using quantitative easing not repo and bypassing banks and giving money to investors and stockholders. So this is other thing and have nothing to do with the repos for the banks.

So if this quantitative easing is going on to investors and stockholders is that free money or is it loans?

So if this quantitative easing is going on to investors and stockholders is that free money or is it loans?

Quantitative easing is when the Fed buys Treasuries and MBS (to hold long-term or forever).
Not lending. Not free money.
This is different than the repos where they lend, short-term, against Treasuries and MBS (mostly).

 

[BuckToothMoron]

What is this I'm reading the US government is injecting billions of dollars every day into the system.

Where is this money going and is it even legal?

It’s really hard to reply to what you’re reading when you don’t post a link to what you read.

The Federal Reserve is pumping money into the system every day and until recently it was going into the stock market and real estate. Now it is going into bonds and gold.

 

[g5000]

What is this I'm reading the US government is injecting billions of dollars every day into the system.

Where is this money going and is it even legal?

It's going into the repo market to keep that market liquid. Without it, overnight repo loans would be in double-digit interest territory, which would crash the system.

Among many other uses, a lot of businesses use the repo market to pay the salaries of their employees.

The repo market is also used to settle accounts between a zillion hedge funds and other financial institutions every day since everything is marked to market.

The Fed is basically keeping the wheels greased.

There is clearly something seriously wrong, but no one is quite sure exactly where or what.

 

[EdwardBaiamonte]

So if this quantitative easing is going on to investors an stockholders is that free money or is it loans?

Free money is what liberals give poor people ie welfare etc etc. Banks get loans that they must pay back. If they cant pay them back the bank owners must pay out of their own pockets. Obviously, we'd all be bankers if they got free money!!!