Tag Archives: Federal Reserve

Can The Fed Cut Rates w/ Financial Conditions So Easy?

Posted on January 28, 2024 by macromon

The Fed’s attempt to tighten monetary policy is being cannibalized by the private sector’s accelerated easing of financial conditions through market-based financial instruments.  The following chart is simply stunning.    Since the Fed began its monetary tightening campaign in March … Continue reading →

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BFTP: The Biggest Risk At The Fed

Posted on April 3, 2019 by macromon

BFTP = Blast From The Past It’s now been more than a year since this post.   We can’t take a victory lap on such nonsense but we will say, “we told you so.”   The consequences are gonna be … Continue reading →

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Fed’s Failure To Communicate, Markets’ Failure To Count

Posted on January 29, 2019 by macromon

Not to beat a dead horse but the following example just reinforces our last post. What the market perceives, Investors who are hoping the Federal Reserve signals a change or adjustment in its balance sheet policy on Wednesday are likely … Continue reading →

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The Automatic Tapering Of Quantitative Tightening

Posted on January 9, 2019 by macromon

We heard a market pundit today mention the Fed will soon begin to taper its reduction in the balance sheet.  The pundit seemed convinced the balance sheet reduction is on track to total $600 billion per year as far as … Continue reading →

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The Biggest Risk At The Fed

Posted on March 21, 2018 by macromon

It is FOMC day, and the committee just raised the Fed Funds rate another 25 bps. Well, actually, they increased the interest rate on excess reserves (IOER) by 25 bps to target a higher Fed Funds rate.   That is an additional … Continue reading →

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FOMC Dot Plot & Other Data – March 21

Posted on March 21, 2018 by macromon
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Policy Leanings Of Current FOMC

Posted on March 6, 2018 by macromon
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QOTD: Liqudity

Posted on November 5, 2017 by macromon

“..liquidity is OK. But it may be more fragile, and more prone to disappearing in stress situations…There hasn’t been a liquidity-related incident that has had a significant effect on the real economy. That doesn’t mean it won’t happen.” – Jay … Continue reading →

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Wolf’s Fed Verdict – FT

Posted on September 20, 2015 by macromon

The Federal Reserve’s decision not to raise rates sparked a negative reaction from stock markets, and complaints from investors. Martin Wolf, in conversation with John Authers, defends the Fed’s decision. For more video content from the Financial Times, visit http://www.FT.com/video … Continue reading →

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Staying safe in the Fed’s new world – FT

Posted on September 8, 2015 by macromon

Once the US Federal Reserve raises interest rates it is expected that it will stop at 2%, a zero real rate. David Riley, head of credit strategy at BlueBay Asset Management, tells the FT’s Dan McCrum that investors need new … Continue reading →

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