Serving the Quantitative Finance Community

 
Mercadian
Posts: 39
Joined: July 24th, 2020, 4:22 pm

Re: Wow!

May 9th, 2022, 8:28 pm

sorry, I can't resist commenting here... should we really be surprised? https://www.federalreserve.gov/monetarypolicy/bst_recenttrends.htm
It's really meaningless, though. If the M2/M3 haven't been doing their job in providing liquidity, then the FED intervenes by pumping M0. M2 has a total supply of 18T while M0 has 7T. There is 11T that the FED can pump without changing the real supply. That is if banks decided to stop loaning people money.
Not sure I get your point, (albeit late) would you care to elaborate?