The Fed Breaks the Repo Markets

In 20 nineteenand laid up t septemper or september, the fed broke the repa markets. But then almost immediately after that, the fed started signal that it would start to slow its a balance shee unwind later in 20 19 a.m. Rather than letting credit restructure, it's put new dollars in. And those new dollars do not just sustain in existing credit levels. It causes and is designed to allow credit to expand further.