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Evidence is now in. Fed's RRP's have cleared "space" for banks to add to equities and trading assets. Trade and invest using the concepts of MMT. Get a 30-day free trial to MMT Trader. https://www.pitbulleconomics.com/ Download my podcasts! New one every week. https://www.buzzsprout.com/1105286 Mike Norman Twitter https://twitter.com/mikenorman Mike Norman Economics: https://mikenormaneconomics.blogspot.com/
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Evidence is now in. Fed's RRP's have cleared "space" for banks to add to equities and trading assets. Trade and invest using the concepts of MMT. Get a 30-day free trial to MMT Trader. https://www.pitbulleconomics.com/ Download my podcasts! New one every week. https://www.buzzsprout.com/1105286 Mike Norman Twitter https://twitter.com/mikenorman Mike Norman Economics: https://mikenormaneconomics.blogspot.com/
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| Evidence is now in. Fed's RRP's have cleared "space" for banks to add to equities and trading assets. Trade and invest using the concepts of MMT. Get a 30-day free trial to MMT Trader. https://www.pitbulleconomics.com/ Download my podcasts! New one every week. https://www.buzzsprout.com/1105286 Mike Norman Twitter https://twitter.com/mikenorman Mike Norman Economics: https://mikenormaneconomics.blogspot.com/ |
Goodness gracious another video. Thank you Mike. Do you know where to find the data about fiscal flows?
Great video Mike!
so can we agree now nobody can predict shit, we can only analyze after!
exactly
hindsight 20/20
Citi at 7 PE seems insane
Where was this video / comments 3 days ago?
@D Stephens I think the chance of a correction is still pretty high. Bank stocks seem the most attractive with what’s going on with these reverse repos. Tech is in a risky position IMO.
So Mike, why do we need to pay back our credit cards and loans again if the banks are in God mode just drawing money on the screen?
There are people and institutions that loan out capital they have :
Loan sharks
Pay day lenders
Consider the interest rates. 500% annual? What do loan sharks charge? 5000 percent? More?
In ancient history, described in Debt, The First 5000 Years, the interest rate charged to those elites who could even get loans was around 60-80%.
Banks charge relatively low interest because they create credit rather than loan capital like borrowing from your dad. Those rates are consistent with modern industrial capitalism . Can you imagine business capital expanding if rates of credit were 60 percent? When Paul Volker pushed Fed rates up to 21% to "fight inflation", that wrecked the real economy and unions. Who would get a car loan or house loan or business loan at 25% or higher?
That's why we work with regulated bank credit instead.
Problems? Yes. That's a different discussion.
Doesn’t it once again come down to the fiscal flows?
Link is working for me now, thanks!
pedal to the metal. thanks Mike!
Informative. Thank you for all you do Mike!
Banks are BTFD, does this ever end?