Thank you for the update. For these short-form notes, this one was very informative! Looking forward to reading about the plumbing behind how EMs flow to reserves vs to RRPs - until I just read this, I thought the recent 5bp technical adjustment to Fed RRPs was at least partially intended to help guide TGA outflows into bank reserves. So I'm surprised to hear the opposite.
In your next piece, are you going to detail more of what you think Bessent will do with duration?
Thank you for the update. For these short-form notes, this one was very informative! Looking forward to reading about the plumbing behind how EMs flow to reserves vs to RRPs - until I just read this, I thought the recent 5bp technical adjustment to Fed RRPs was at least partially intended to help guide TGA outflows into bank reserves. So I'm surprised to hear the opposite.
In your next piece, are you going to detail more of what you think Bessent will do with duration?
Cheers and thanks again.
"In your next piece, are you going to detail more of what you think Bessent will do with duration?"
i may have already spilled the beans lol
Wouldn't it be a burden on US finances if start to increase the issuance of long-term bonds from the 4% level of base interest rate?
MMMGA! 🇺🇸