The Effect of Reserves on Markets

The Fed injects this in times of crisis so that everybody can Settle their trades and their settled their their transactions without stressing the system. It also has an effect A psychological effect I call it a placebo effect on markets because people say people believe that they're ejecting it somehow into the stock market or You know or something like that. So it gives people relief Obviously should give us relief that the banks that banking system is not going to crash But it also gives people relief because they think it supports assets to a greater degree Then that it actually does.