10-Year Yield Jumps, Yield Curve Steepens, on Fed’s Plan to Buy $60 Billion a Month, But Only Short-Term Treasury Bills by Wolf Richter • Oct 11, 2019 • 95 Comments Ending the repo market blowout and un-inverting the yield curve.
How the Crybabies on Wall Street Try to Force the Fed into QE-4 by Wolf Richter • Oct 10, 2019 • 70 Comments The repo blow-out — whoever instigated it — comes in real handy.
The Day When Repo Rates Blew Out: Fed Recounts a Fiasco that Occurred as the FOMC Was Meeting, and How it Reacted by Wolf Richter • Oct 9, 2019 • 53 Comments I wish I could have sat in that meeting, watching the bewildered faces of Fed officials as they got hourly updates on repo rates blowing out.
Fed Didn’t See Economic Reasons to Cut Rates, Admits Cutting for Other Reasons: My Fancy-Schmancy “Fed Hawk-o-Meter” by Wolf Richter • Oct 9, 2019 • 48 Comments Fed Sent Big-Fat Message on “U.S.-China Trade Tensions” to White House.
Repos Boost Fed’s Assets by $181 Billion by Wolf Richter • Oct 4, 2019 • 97 Comments Meanwhile, the Fed relentlessly sheds MBS, replacing them with Treasuries, including short-term Bills.
US Dollar Status as Global Reserve Currency Slides by Wolf Richter • Sep 30, 2019 • 99 Comments If the US dollar loses its hegemony as a global reserve currency, it would be a sea change globally, and specifically for the US economy. Today, we got the next installment in that saga.
Fed Admits Failure of ‘Plan A’ to Control Money Market Rates, Shifts Back to Repos (which was ‘Plan A’ till 2008) by Wolf Richter • Sep 20, 2019 • 161 Comments The hullabaloo in the repo market torpedoed the function of Interest on Excess Reserves and forced the Fed to go back to the future.
Fed’s Powell: No Negative Interest Rates at Next Crisis by Wolf Richter • Sep 18, 2019 • 117 Comments The Fed has different priorities than the ECB, the Bank of Japan, the Swiss National Bank, et al.
“Core” Inflation Rises Most Since Sep 2008, Powered by Services and Now Even the Peculiar Case of Durable Goods by Wolf Richter • Sep 12, 2019 • 73 Comments What would the Fed do if economic factors were all it looked at?
Fed Sheds $20 Billion in Assets in August, Relentlessly Sloughs Off MBS, Adds Some Treasuries, Starts Shift to Short-Term T-Bills by Wolf Richter • Sep 5, 2019 • 106 Comments QE Unwind continues via the sharp drop in MBS.
