[HN Gopher] Cash Flood Drives Use of Fed Reverse Repo to Record $1T
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       Cash Flood Drives Use of Fed Reverse Repo to Record $1T
        
       Author : CyberRabbi
       Score  : 30 points
       Date   : 2021-07-30 19:59 UTC (3 hours ago)
        
 (HTM) web link (www.bloomberg.com)
 (TXT) w3m dump (www.bloomberg.com)
        
       | sschueller wrote:
       | I don't like Peter Schiff [1] and I think he's a selfish prick
       | but I believe he is right when he says we are just pushing the
       | hot potato down the road. This won't end well.
       | 
       | [1] https://insideparadeplatz.ch/videos/the-entire-monetary-
       | syst...
        
         | the-dude wrote:
         | He is predicting doom for over a decade.
        
           | coralreef wrote:
           | I don't care for Schiff, but central banking and the modern
           | monetary system is fundamentally problematic. Just because we
           | haven't experienced a black-swan event doesn't mean that it's
           | not possible, whether that be a market crash or a pandemic.
           | 
           | Some cycles take longer than decades to play out. Some things
           | take hundreds of years. First principles thinking (and common
           | sense) tells us that no party should be able to create money
           | out of thin air, it almost breaks physics, but it doesn't
           | because the value comes from diluting every else's money. It
           | breaks the social contract by taking from others without
           | consent or transparency. And so no one complains because they
           | don't notice it happening; my accounts stand as complete as
           | they were yesterday. A powerful tool that over time,
           | inevitably gets abused and mismanaged.
        
           | epicureanideal wrote:
           | Sure, but the government has also been kicking the can down
           | the road for over a decade. Interest rates get lower and
           | lower, asset prices get pushed higher and higher...
        
             | fakesheriff wrote:
             | Demographics = destiny.
             | 
             | When an older generation with no concept of civilization
             | wields political power, it does so in its own narrow self
             | interest.
             | 
             | We must pay $1.5m for a shitty 3BR apartment, $300k for a
             | college degree, and $600 for insulin so that Boomers may
             | live comfortably in retirement.
             | 
             | The frustrating part is that only half of Boomers _will_
             | live comfortably in retirement. The ones that do will be
             | _very_ comfortable. The others will stand on their
             | arthritic knees 8hrs a day bagging groceries, trying to
             | offset the precipitous decline in the purchasing power of
             | their social security checks.
             | 
             | Boomers are so selfish they don't even look out for people
             | in their own cohort. The Boomer generation is an abject
             | civilizational failure.
        
           | applepple wrote:
           | Clearly he was right. Not sure how else to call what's going
           | on now. Many people now are doomed. You just don't hear about
           | them - This makes their suffering worse, not better. It's a
           | matter of time before it reaches the rest of us. The rot has
           | already eaten away the core of the economy.
        
           | CheezeIt wrote:
           | Yet we now have rock bottom interest rates _and_ a 0% reserve
           | requirement.
        
             | spinchange wrote:
             | And a global health pandemic that's harder to peg than
             | inflation
        
           | SAShithole wrote:
           | And at some point he is bound to be right desu.
        
         | Afforess wrote:
         | Predicting recessions is easy. Economists have predicted 18 of
         | the last 4 recessions.
        
           | ur-whale wrote:
           | If there's one thing Economists are amazingly bad at it's
           | predictions.
           | 
           | Not that it prevents them from producing metric tons of it.
           | 
           | And why shouldn't they?
           | 
           | People gobble them up and never hold them accountable for
           | getting it wrong.
        
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       (page generated 2021-07-30 23:01 UTC)