WASHINGTON—The Federal Reserve over the last three months has flooded money markets with hundreds of billions of dollars in cash to avoid a repeat of volatility that roiled cash markets in September.
The success of the moves—which reversed roughly half of the Fed’s shrinkage of its asset portfolio over the prior two years—will encounter a test around Dec. 31. That is when some financial institutions could face incentives from regulations to limit their lending, which could cause supply and demand imbalances for cash.
Donald Trump's voodoo economics and business practices are infecting the Federal Reserve's decision making and the American people and the economy will pay for the phony and continues printing of money to flood the market, Wall Street. Danger ahead.
Fed lost the independence
Simplified: They bought treasuries This sounds a lot like QE, though they are saying it is not QE. I would really appreciate if someone can explain the difference to me in a very easy to understand way.
Ask the ft, they have all the answers.