As promised, here are a few quick thoughts on the Fed balance sheet release from earlier this afternoon. The bottom line is that expansion was a much more modest ~$100b relative to last week's ~$300b. More importantly though, the net change in the combination of...
It's been a wild couple of weeks. The second and third largest bank failures in US history have come and gone. The first-ever G-SIB was fully resolved without a hitch. The Fed's balance sheet swelled by over $300B in a matter of just a few days. And the FOMC continued...
Given that the weekly balance sheet report from the Fed just came out this evening showing a whopping ~$300b EXPANSION, I thought it would be useful to bring back a piece I wrote just over four months ago. The framework outlined in this piece best describes how I...
Obviously, all market attention has shifted focus to the fallout from the SVB receivership announcement on Friday and the Fed/Treasury response this evening. This failure marks the first potential systemic risk to arise from the Fed's tightening. And the SBNY...
I have had some truly exceptional discussions with clients over these past few weeks. This notion that monetary policy tightenings do not pack the same punch as they used to because of the legacy effects from QE losses has caught a lot of attention. And as I...
I have had some truly exceptional discussions with clients over these past few weeks. This notion that monetary policy tightenings do not pack the same punch as they used to because of the legacy effects from QE losses has caught a lot of attention. And as I consolidate my thoughts on the subject (which will […]
