Silver linings have been hard to come by lately, especially last year. Twenty-twenty was a total washout in almost every way imaginable; and that’s an understatement. Still, there were some small signs of genuine progress such as Jay Powell’s thorough contribution to QE debunking. Bank reserves went sky high while practically nothing else did (other than equities), certainly not inflation. [...]
There are those people who will remain convinced forever forward that the Federal Reserve is run by evil geniuses absolutely intent upon robbing the free peoples of the United States of their financial freedom. As evidence, they point to one unsuccessful, controversial monetary policy after another, none of them effective at accomplishing their main task of putting the economic and [...]
On August 1, 2018, the Treasury Department announced that it was introducing the 8-week T-bill. With deficits up and going higher due mostly to December 2017’s Tax Cut and Jobs Act (TCJA), the government was becoming creative in how it would deal with its trickier funding needs. Not only the new bill maturity, note auctions were going to be bumped [...]
It’s another one of those crisis-era programs, GFC1, the Fed probably hopes you never think too much about. Almost nobody noticed while the thing was operational. It was called the Supplementary Financing Program (SFP) which was thought up and initiated during the middle of September 2008 just two days after Lehman Brothers and AIG. Its purpose was, unbelievably, to drain [...]
Everyone who lived through the Global Financial Crisis (GFC) remembers the Emergency Economic Stabilization Act of 2008, if not the name itself. The law had authorized TARP (among other things). It was passed during the messiest part of the panic, being signed into law on October 3, 2008. You can always tell what is not going to happen by whatever [...]
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