Lee Adler agrees with Slider on the Fed's recent action. I think the Fed likes the idea that so many talking heads have been reporting that the Fed is printing like mad men when in fact they are draining liquidity out. The question is will Benny keep it up if the market goes into a bigger tail spin and what happens when FCB's decide to stop treasury purchases?
Fed’s Draining Ways - Professional Edition
by Lee Adler, Thursday, July 17, 2008, in Money and The Fed, Professional Edition | Permalink |Comments (0)
The Fed returned to its draining ways again on Thursday, dropping Fed supplied liquidity back to the lowest levels in 3 years. At the same time, the Treasury announced another crushing load of supply to hit the market next week. Bonds buckled in response.An update on PDCF, Discount Window Borrowings, FCB buying, and other weekly data to be released by the Fed will be posted late this evening. Click here to download complete report in pdf format (Professional Edition Subscribers). Try the Professional Edition risk free for thirty days. If, within that time, you don’t find the information useful, I will give you a full refund. It’s that simple. Click here for more information. |
