Federal Reserve Admits It Pumped More than $6 Trillion to Wall Street in Recent Six Week Period

[Wild self]

Anything to prevent the economy from crashing before the elections

 

[FocusedDaily]

Misleading headline regarding $6trn. The vast majority of the transactions were overnight repurchase trades that were repeated on a daily basis. These trades were all fully collateralized with treasury bonds of which the banks have been forced to buy due to the deficit ballooning this past year.

I'm glad you did it, I struggle trying to explain Repo trades to people outside of the financial industry.

 

[FAH1223]

 

[Futuristic Eskimo]

 

[Secure Da Bag]

In today's political climate, this is not a good idea.

 

[ADevilYouKhow]

Stoller is awful, I’m frankly disgusted

 

[Xcoyote]

The US government is a blatant looting operation

 

[Consigliere]

This would make sense if politicians weren’t so easily bought and sold or acted in a rationale manner that represented the will of their constituents. The cure might be worse than the disease.

 

[OfTheCross]

Jerome Powell's knows what he's doing by his own admission

Jerome Powell Secretly Knows the Federal Reserve Is About to Crash the U.S. Stock Market

Powell explained:

I have concerns about more purchases. As others have pointed out, the dealer community is now assuming close to a $4 trillion balance sheet and purchases through the first quarter of 2014. I admit that is a much stronger reaction than I anticipated, and I am uncomfortable with it for a couple of reasons.

He went on:

First, the question, why stop at $4 trillion? The market in most cases will cheer us for doing more. It will never be enough for the market. Our models will always tell us that we are helping the economy, and I will probably always feel that those benefits are overestimated. And we will be able to tell ourselves that market function is not impaired and that inflation expectations are under control. What is to stop us, other than much faster economic growth, which it is probably not in our power to produce?

 

[ogc163]

This is a dangerous and horrible idea

 

[Dameon Farrow]

But no money for reparations. Hmm

reparations don't raise the stock market. Sad but true.

 

[FAH1223]

This would make sense if politicians weren’t so easily bought and sold or acted in a rationale manner that represented the will of their constituents. The cure might be worse than the disease.

This is a dangerous and horrible idea

Trump has wielded power over the Fed by crying about lowering rising interest rates and pushing them to do more QE. They've done it.

 

[Futuristic Eskimo]

Trump has wielded power over the Fed by crying about lowering rising interest rates and pushing them to do more QE. They've done it.

The market has guided the Fed's moves way more than Trump. The sell-off in December 2018 and repo market issue last September have driven fed policy in the past year. You've got it wrong. Not defending fed moves, no one is paying attention to the buffoon, but he did correctly say rates shouldn't have gone up late last year.

 

[Ethnic Vagina Finder]

Misleading headline regarding $6trn. The vast majority of the transactions were overnight repurchase trades that were repeated on a daily basis. These trades were all fully collateralized with treasury bonds of which the banks have been forced to buy due to the deficit ballooning this past year.

 

[ogc163]

Trump has wielded power over the Fed by crying about interest rates and pushing them to do more QE. They've done it.

This one hell of a stretch at worst and oversimplification at best. There are a variety of reasons why the Fed decided to continue an easy monetary policy. But that still doesn't justify undermining the independence of the fed. Even if there isn't absolute independence on part of the fed, Stoller's alternative isn't better.