So Wall Street and the big investment banks are irritated with the Fed. They want the market to regain momentum and start moving up again.
But with the Fed dragging out these incremental rate hikes every couple months, the market cannot do that; it cannot bottom, recover, and move on.
They want the Fed to pull off the band-aid with a big rate hike and be done with it for the year.
Now they aren't getting what they want.
I have a feeling the Fed will be reversing some of their actions next month at the latest. Maybe not rates, but I bet they'll change their mind on the QT. Shit is going to break real soon, the world is too leveraged now for any tightening. There is no way the Fed will sit back and let this happen, to do so would be the end of all government services, followed by the goverment itself.
Imagine the government trying to pay for everything without being able to issue bonds (because the fed is no longer buying), or tax its citizens because unemployment is above 20% and capital gains are a thing of the past. The Fed is the lender of last resort for a reason and we're going to see them in that role again real soon. In the mean time markets are cactus, including Bitcoin's price.
If you thought you'd seen brrr before, well baby, you ain't seen nothing yet.
Yeah, I was thinking the exact same thing. With all the mass employment shakeouts over the past 2 years, I'm imagining that IRS and state tax revenues have absolutely cratered.
So how are they going to make up the difference? How are they going to pay for govt services and the deficits? There's only one way: moar printer go brrr.