They appear to be in favor of reducing their balance sheet I'll believe it when I see it. If they have chosen to be responsible, the market may dump for a little while, but should eventually recover with relatively less pain
>On the balance sheet issue, the plan will be to allow a capped level of proceeds to roll off each month, a number that will reach $95 billion by August, including $60 billion Treasurys and $35 billion for mortgages. The minutes further indicate that an outright sale of mortgage-backed securities is possible, with notice of that happening well in advance.
>muh economic theories just fucking buy? Who cares about rates...literally, just pretend they don't exist.. they have no effect on retail
Jaxson Wright
Good. I'll be accumulating along the way, accelerating later in the year.
Luke King
>rates >no effect on retail kek stay poor goy
Anthony Young
my friend you are the king of redards have you slept during the last 3 years it has never been more obvious that the FED is the most significant player in markets
Lucas Young
What does “rolling off” mean? I assume selling these assets, but then who is buying these assets?
Luke Baker
Please be true. I can't stand watching my alts bleed like pigs anymore.
Anthony Ross
the banks look up on how reverse repo markets work
Andrew Roberts
you're a fucking idiot OP what the fuck are you talking about 'unwinding' the balance sheet. It has never, ever been done. They are the single largest holders of the United States Government Debt Issuance by a fucking wide margin. The Government itself is spending trillions more than they receive, and this will need to be raised... in an open market auction at 0.75/1.25/1.75% interest?!
Are you guys literally this fucking stupid, wake the fuck up. This isn't opinion anymore this is math, nobody to believe or follow, argue with.. none of this is up for debate anymore. The physical fucking continent is great, the problem is what this dumb fucking population has decided to do since essentially giving up being productive, using foreign labor to accomplish ridiculously stupid pursuits fuelled by debt.
I am very, very fucking surprised there are still people that know even the basics of the Federal Reserve functioning, like OP, who are still retarded enough to care about what they have to say.
William Martin
Less than 100 billion out of almost 10,000 billion. At that rate it will take over 10 years to sell it all. They will resume purchasing way before that point, within 2 years the balance will be reaching new all time highs. You're delusional to think they will actually follow through to any extent that actually matters.
Juan Davis
as I said, Ill believe it when I see it but the fact remains, theyve stated their intentions
We just saw that herd mentality is more of a factor, their reaction to the fed was the mass panic sell. your chart isn't scaled correctly it makes the fed dumping look bigger than it really is.
This is the ultimate redpill video I know no one will watch it, but like this guys says the fed is like an alcoholic who keeps claiming tomorrow I’m going to stop drinking but never actually does.
Camden Wilson
>Stansberry Research lol
Jace Flores
I’ve seen that video and I agree with him.
Lincoln Perez
this guy speaking facts
Jonathan Nelson
maddening, isn't it? now imagine "the fed tightening" being the driving narrative on this board for almost two years now
Nicholas Nguyen
you guys are paid market fudders spreading narratives