/biz/ - Business & Finance

>>18101351
what does this mean?

>>18101606
BRRRRRRRRRRRRRRRRRRRRRR

>>18101606
the repo market will not be a thing anymore for on1

>>18101606
BRRRBRRRBRRRBRRR BRRRBRRRBRRRBRRR BRRRBRRRBRRRBRRR BRRRBRRRBRRRBRRR BRRRBRRRBRRRBRRR BRRRBRRRBRRRBRRR BRRRBRRRBRRRBRRR BRRRBRRRBRRRBRRR BRRRBRRRBRRRBRRR BRRRBRRRBRRRBRRR

>>18101606
bank no longer have to keep money in case customer want to withdraw
basically if the fend will wired them the money directly if someone want to cash out
this is to push banks to take more risks and bu stocks

this measure is completely irrelevant tho since the fed is no injecting infinite amount of money

>>18101694
>>18101632
You can't just keep posting BRRRRRR at me. You need to explain what it actually means.

>>18101606

>>18101351
People need to fuck off with this infinite money meme. Fed's not printing new money, they're exchanging cash for bonds (corporate and treasury). No new money in no money out.

The fucked thing about this is that we're assuming a bounce back and quick recovery. Fed wants to keep LIQUIDITY in the markets, if the credit markets freeze up then shit will get really panicked in financial markets (Think repo market emergencies seen in '19 but on much larger scales). I need to look into this reserve requirement news, but I'm assuming that they're relaxing the regulations on banks holding cash to keep cash flowing.

>>18101776
>they're exchanging cash for bonds
and where does that cash come from, boomer?

>>18101606
Br

>>18101776
Ok boomer

>>18101776
bonds are created out of thin air
fed buys those bonds with cash printed out of thin air

>>18101776
They are creating debt and not money

>>18101796
This
It's just another bernanke scheme to hide the fact that money is being injected into circulation.
Make up some word salad about exchanges, 6 gorillion and antisemitism and the Boomerz eat it up.

>>18101928
And they think people can't connect the dots.

>>18101776
>FED is allowed to buy directly ETFs
>FED is allowed to buy corporate debt
>FED is allowed to buy fucking bonds
that's the QE part

repos are short term loans which are never getting paid back in time because everyone is unsolvent and illiquid, besides that we dump tax money into bail outs

welcome to the greates economy on the planet.

theyve had this rule in UK and australia for 20 years and somehow they dont have infinite money printing
retard

>>18102139
Don't they call it "not-QE" even tho it clearly is?

>>18101740
BRRRRRR

>>18101776
Get back to work Mnuchin.

>>18101776
>Fed wants to keep LIQUIDITY in the markets, if the credit markets freeze up then shit will get really panicked in financial markets (Think repo market emergencies seen in '19 but on much larger scales)
What do you think 500bn repos were for, retard?

Liquid dried up in September 2019, has been dry ever since.

>>18102685
Liquidity was never the problem, Listen to some Jeff Snider interviews. He says the problem was always shit collateral, which the FED now has free reign to buy at 1:1 through the PDCF.

They're literally overpaying for bad debt lmfao.

>>18101351
Oh yeah Jerome let's POOOMP IT

>>18102793
Yes, and bad collateral means companies can no longer get liquidity, effectively liquidity dried up. We saw this coming when the first wave of repos in March had very low demand, meaning either companies dont want money or they cant post collateral for it.

Turns out they had no collateral to post for the money they so desperately needed.

And then you have the problem of companies not wanting to lend their money.

>>18102793
>Listen to some Jeff Snider interviews.
Ah, I see you are a graduate from the Youtube school of economics.

>>18101776

>>18101928
debt is money

>>18101606
We have ripped away the facade. All dollars are officially playskool money.
But if any country says they don't want to play pretend with us, we will destroy them.

>>18103417

>Debt is Money
War is Peace
Freedom is Slavery
Ignorance is Strength

>>18103487
Go time

Operation success , no long term problems from doubling the money supply.

>>18101606
It means you should buy literal SoV coins like CKB and BoomerTcoin