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Replying to Avatar Lyn Alden

As long as borrowing stress remains elevated, many asset prices are likely to remain choppy.

This is why the Fed is ending balance sheet reduction, but simply ending it is not necessarily sufficient. By 2026 they will likely go back to balance sheet expansion to put out this fire. Notably, it likely won't be very fast/large balance sheet expansion, but rather will be just enough to help settle this down, which makes a big difference.

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Jake Woodhouse 1mo ago

The FED has proved to be a lot more political than I ever realised

So surprised that deep in 2025 we’ve still it seen large QE

Thankfully happy to HODL my Bitcoin as long as it takes, up and down, likely through all of this

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