THE WOLF STREET REPORT: The Most Monstrously Overstimulated Economy & Markets Ever by Wolf Richter • Aug 22, 2021 • 153 Comments The Fed will trim back its stimulus, but it’s already too late, and it’ll be too little and too slow.
Who Bought the $5 Trillion Piled on the Monstrous US National Debt in 15 Months? by Wolf Richter • Aug 17, 2021 • 146 Comments A burning question in these crazy times.
$1.1 Trillion Flood of Liquidity from Drawdown of Treasury General Account Peters Out by Wolf Richter • Aug 7, 2021 • 201 Comments And as the Fed pumps out cash via QE on one side, it mops up $1 trillion in cash via reverse repos on the other.
Senator Manchin Hammers on Powell to Back Off Money Printing, as Biggest “Inflation Momentum in 30 Years” Might Derail Democrats’ Spending Priorities by Wolf Richter • Aug 5, 2021 • 274 Comments Giving political cover to the Fed to tamp down on inflation. Which fits neatly into my theory.
Dollar’s Purchasing Power Gets Zapped. It’s Permanent by Wolf Richter • Aug 4, 2021 • 176 Comments This combo of massive QE, repressed interest rates, huge government stimulus with borrowed money, and raging inflation is new in recent history.
My Thoughts on the Fed’s Back-to-the-Future “Standing Repo Facilities” Announced Today by Wolf Richter • Jul 28, 2021 • 164 Comments Repos are different from QE; they’re in-and-out transactions that don’t endlessly pile up, unlike QE.
Bank of Canada Cuts Bond Purchases for 3rd Time, Bank of New Zealand Stops QE Cold-Turkey, Citing Housing Bubble in “Least Regrets Policy,” Following a Slew of other Central Banks by Wolf Richter • Jul 14, 2021 • 150 Comments Why is the Fed so far behind the curve? Other central banks are now making room for “persistent” inflation.
Tapering, Doubts about “Transitory” Inflation, and “Financial Stability Risks” due to “Valuation Pressures in Housing Markets”: Some Folks at the Fed Getting a Little Nervous by Wolf Richter • Jul 7, 2021 • 154 Comments Disruptions “might linger for longer and might have larger or more persistent effects on prices and wages than they currently assumed.”
Bank of Japan Stops QE, Reserve Bank of Australia Starts Tapering, Bank of Canada & Bank of England Already Tapering, Amid Shock-and-Awe Rate Hikes in Emerging Markets by Wolf Richter • Jul 6, 2021 • 167 Comments The Fed is a laggard, now discussing when and how to taper QE. The ECB is an even bigger laggard, as inflation begins to rage.
Fed’s Reverse Repos Spike to $1 Trillion. Cash Drain Undoes 8 Months of QE by Wolf Richter • Jun 30, 2021 • 139 Comments Giant sucking sound of cash.
