I’m not sure that it even matters anymore, but let’s take a look at the latest liquidity data from the Fed:
Yellen’s checkbook jammed with cash nowA teeny, tiny bit of quantitative tightening……….Reverse Repo in a free-fallAnd, what almost certainly made all of the above stop working, Yellen’s free handouts to banks pushing up to a new lifetime high (well over a tenth of a trillion bucks now).
At this point the spread between where things “should” be in a couple of weeks and where they are right now is so giant – – – over 700 points – – it really makes me question the entire enterprise. It worked great before, though!
