The Fed Fears A Liquidity Crisis More Than An Inflationary One

The Fed is now scrambling to cut rates and end QT because of the brewing potential for a liquidity crisis once the Reverse Repo Program is fully drained.

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Rumors are suddenly flying fast and furious that the Federal Reserve will be soon ending its campaign of Quantitative Tightening (aka QT). This is on top of the 3 rate cuts it recently guided the market to expect in 2024.

Is the end of QT indeed imminent?

If so what will the implications be?

To discuss that, as well as the other major macro trends expected to impact markets most in 2024, we're fortunate to sit down with analyst Jim Bianco, founder of Bianco Research.

Jim thinks the Fed is now scrambling to cut rates and end QT because of the brewing potential for a liquidity crisis once the Reverse Repo Program is fully drained.

Video Length: 01:21:25


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