FED to buy more treasuries

Joined
Aug 5, 2002
Messages
18,816
Location
Silicon Valley
It has been done forever. The FED raise/lower interest rate by adjusting the amount of cash/bond/other assets to increase/reduce the monetary supply.
 
Joined
Sep 28, 2002
Messages
39,802
Location
Pottstown, PA
It would be better if you could hear it in person. Imagine a D.A. loudly proclaiming, Q: DO YOU KNOW THAT HE IS A CARD CARRYING MEMBER OF OVER 3 PUBLIC LIBRARIES???? A: Well, no, I didn't Q: How does that make you feel? A: I dunno S/Q: YOU DON'T KNOW ANYTHING ABOUT HIM AND YOU DON'T KNOW HOW THAT MAKES YOU FEEL? A: well ..ah..
 
Joined
Oct 11, 2002
Messages
22,187
Location
Colorado Springs
 Originally Posted By: PandaBear
It has been done forever. The FED raise/lower interest rate by adjusting the amount of cash/bond/other assets to increase/reduce the monetary supply.
What they are doing right now is not open market operations. They are printing money - creating money out of thin air to buy treasuries. AKA monetizing our government debt. NOT GOOD!
 
Last edited:
Joined
Sep 28, 2002
Messages
39,802
Location
Pottstown, PA
They're just tidying up a few loose strings here, Drew. Most of the work is done. The rest is merely detail. This has been a trap that's been a long time in the making.
 
Joined
Oct 11, 2002
Messages
22,187
Location
Colorado Springs
They're doing exactly what they did in the late 70s. Long term interest rates have doubled in the last 6 months. Don't be surprised if they go well past 10 percent in the coming years! Then we'll need another Paul Volker to pull the E-Brake and stop us from sliding off an economic cliff. These morons keep putting off the pain that WILL come. I swear, they are all alcoholics or junkies.
 
Top