/biz/ - Business & Finance

>>53392289
>one way or the other.
I found this article to be fascinating and highly informative.

>how the fuck is this not going to dump back to 17k or 18k....
ZeroHedge says that the Treasury's "extraordinary" debt ceiling aversion measures are going to cancel out the effect of the Fed's QT and function like a de facto QE. Therefore, it is not unreasonable to expect a resumption of a bull-like market between now and the Congress eventually raising the ceiling in the summer. Maybe it won't happen at all but this is one possible scenario that answers your question: the Treasury began draining its account at the Fed last Thursday (the Treasury general account) to fund the government and spending this money is a de facto form of QE which is a very trustworthy driver for market gains. This will be a big liquidity injection, in other words, and markets like that.

ZeroHedge says the Treasury's "extraordinary" measures to stave off the inevitable debt ceiling increase until the summer or fall are going to cancel the effect of QT by draining the liquidity from the Treasury General account at the Fed. By my own analysis, I had predicted that QT was really going to start fucking the market in the spring but this other analysis has convinced me that it probably won't. I'm not going to start posting mumus but I might post some color-inverted bobos for a while as we see how that goes. I think if draining the Treasury's bank account is going to have the effect of QE, the market will go up despite even the most catastrophic collapse in the underlying fundamentals. I am very interested to see what will happen and I recant on my former "it's absolutely going straight to hell in 2023." This other analysis of the Fed's statement makes a more circuitous route to hell seem reasonable.

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