IPFS News Link • Federal Reserve
The Federal Reserve's One Last Hail Mary
• https://www.zerohedge.com, by Alexander DeluceWhat many in the mainstream media have failed to include in this recent coronavirus economic narrative is that the virus was just the pin of one the biggest bubbles ever created, which we call the central bank bubble revolving around U.S sovereign bonds.
Before we dive deep into this, let's start with what the Fed has been doing to combat against the coronavirus and to keep markets alive for the time being. To begin, welcome back to the era of the printing press, but this time they have made it clear they will conduct "QE infinity" if this is a prolonged depression, which it will be.
For some prospective, previous QE programs were:
QE1: $1.7 Trillion
QE2: $600 Billion
QE3: $1.6 Trillion
With this latest being:
QE4:$1.6 Trillion
An overwhelming number in such a short period, making previous QE programs look like peanuts in comparison. In fact, the Fed printed roughly $970,000 every second last week to keep the market afloat.