The BTFP Will Expire in March: Fed Vice Chair for Supervision Michael Barr by Wolf Richter • Jan 9, 2024 • 80 Comments Last remaining bailout tool from the March bank panic goes away. Current arbitrage may have been a factor in shutting down this baby.
Fed Balance Sheet QT: -$1.28 Trillion from Peak, to $7.66 Trillion, Lowest since March 2021. Banks Got an Arbitrage Opportunity when Yields Dropped by Wolf Richter • Jan 4, 2024 • 81 Comments The Fed has shed 31% of the Treasury securities it had added during pandemic QE.
Fed Members Fan Out to Douse Raging Rate-Cut Fires by Wolf Richter • Dec 18, 2023 • 286 Comments So far, vice chair Williams, Mester, Bostic twice already, and even Goolsbee who accused markets of wishful thinking.
What Powell Said About Continuing QT amid Rate Cuts, RRPs Going to Zero, Reserves Dropping to Magic Line in the Sand by Wolf Richter • Dec 13, 2023 • 237 Comments How far can QT go? Quite a bit further.
Fed Holds Rates at 5.50% Top of Range, Sees Three Rate Cuts in 2024, QT to Continue by Wolf Richter • Dec 13, 2023 • 314 Comments Lowers GDP growth projections and PCE inflation projections for 2024.
The Question is Not “When” but “Why” the Fed Would Cut Rates with a Labor Market this Strong and Wage Growth Accelerating by Wolf Richter • Dec 8, 2023 • 276 Comments The amazing labor market that just keeps plugging along despite the high interest rates.
Fed Balance Sheet QT: -$1.23 Trillion from Peak, -$129 billion in November, to $7.74 Trillion, Lowest since April 2021 by Wolf Richter • Dec 7, 2023 • 129 Comments The Fed has now shed 29% of Treasuries it had added during pandemic QE.
Even Higher for Longer if Markets Keep Fighting Central Banks, ECB’s Wunsch Explains. The Fed Has Same Problem by Wolf Richter • Nov 22, 2023 • 199 Comments “If the markets don’t infer from this that it’ll be high for longer, we’ll have to use our rate instruments and hike to get where we want to go.”
Our Wall Street Crybabies Want the Fed to Stop QT, they Wag the Drop in Overnight RRPs that’ll Blow up the Banks or Whatever by Wolf Richter • Nov 19, 2023 • 121 Comments This crybaby stuff is just funny. So let’s have a look.
Fed Balance Sheet QT: -$1.1 Trillion from Peak, to $7.87 Trillion, Lowest since May 2021. by Wolf Richter • Nov 2, 2023 • 85 Comments Fed shed 26.5% of Treasuries it had added during pandemic QE.
