Central Banks Printed $20 Trillion and Now Own the Markets! Can They Prevent A Collapse?

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Do you think that the markets are under siege by the central banks? Or are central banks trying to prevent a collapse?

There’s a strange situation today, particularly evident in 2020. Central banks are buying everything. Different central banks are doing things at a different speed, with different nuances. But let’s face it, they print money out of thin air by adding zeros on a computer, buying assets that do not exist, and are very adamant in the public that they’re helping the middle class. Instead consider another, more realistic possibility…

 

Assets: Total Assets: Total Assets (Less Eliminations From Consolidation): Wednesday Level (WALCL) | FRED | St. Louis Fed

fred.stlouisfed.org/series/WALCL

Central Bank Assets for Euro Area (11-19 Countries) (ECBASSETSW) | FRED | St. Louis Fed

fred.stlouisfed.org/series/ECBASSETSW

Bank of Japan: Total Assets for Japan (JPNASSETS) | FRED | St. Louis Fed

fred.stlouisfed.org/series/JPNASSETS

Balance Sheets

www.yardeni.com/pub/peacockfedecbassets.pdf

SNB Q1 2020.jpg (1280×871)

www.zerohedge.com/s3/files/inline-images/SNB%20Q1%202020.jpg?itok=lyesq8N4

Fed outlines terms for lending program and promises full disclosure on PPP recipients

www.cnbc.com/2020/05/12/fed-outlines-terms-for-lending-program-and-promises-full-disclosure-on-ppp-recipients.html

The Fed is starting its program to purchase corporate bond ETFs

www.cnbc.com/2020/05/12/the-fed-is-starting-up-its-program-to-purchase-corporate-bond-etfs.html

Survey of Consumer Expectations – FEDERAL RESERVE BANK of NEW YORK

www.newyorkfed.org/microeconomics/sce#indicators/household-finance/g33

David Rosenberg on Twitter: “I was so close to turning more bullish (less bearish?) until I see this metric was released by the New York Fed on consumer expectations. Since when do bear markets end on record optimism? t.co/Gddwl5JDbj” / Twitter

twitter.com/EconguyRosie/status/1247198124994703361

 

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