Why did reverse repo suddenly increase by almost 300 billion this week?
>>58694963It always spikes at the end of the trading month. It will go back down next month and continue to crab until GameStop blows the lid of the financial system fr
>>58694963>One way or another, sooner or later, the Fed and/or Treasury are going to have to finance more Federal deficits. It could be straight QE, it could be bank SLR exemptions on USTs (QE via the banks), it could be Treasury bill issuance absorbed by RRP, followed by Fed Standing Repo and facilitated by Treasury buybacks…we don’t really care, because it doesn’t really matter.>The key first principle question for investors is “Do we think the US government will allow UST markets to sustainably dysfunction and force Washington to de-fund itself in a time of rising global competition, Cold War 2.0, and intensifying domestic political tensions, yes or no?”>As long as the answer to that question remains “No”, we expect gold, BTC, stocks, and houses to continue to outperform medium-term and LT USTs, as the $130T global, bond market squeezes into the $65T US equity market, the $14T gold market, and the $1.3T BTC market.
>>58694963Damn, looks like the Chinese economy is fucked
