Goldtent TA Paradise

We won’t know until

1. pedro_deleon says:

   September 22, 2019 - 8:25 am at 8:25 am

   The issue was widely anticipated, as Treasury unwinds maneuvers it took ahead of the federal budget deal to stay in bounds. Once the debt ceiling deal was passed, Treasury would be making up for lost time and borrowing to the hilt in catchup mode, draining liquidity from the system.
   ZH was on this mid summer.

   Jeff Snyder, on the other hand, says a global dollar shortage has been a persistent issue for two years now. But his writing/analysis is not transparent to me … so when overnight repo SUDDENLY jumps to 10%, I have to believe this issue was more transitory. Some say taxes, etc.

   • silverboom says:

     September 22, 2019 - 8:34 am at 8:34 am

     Methinks you miss my point, Pedro. No doubt what you say is true; however, I was pointing out that we will never know who needed the funds nor why – it will be buried deep in the Fed and will not be revealed. And likely it will be long forgotten as this enormous ball of string comes unwound. Or put another way, the plug is finally pulled in the bathtub of central banking. We cannot get at the truth – at the true culprits – because the Fed is a secretive organization accountable to no one.