2min chapter

Forward Guidance cover image

Jim Bianco on Fed Chair Powell's Reluctance To Discipline The Bulls (February 2023 FOMC)

Forward Guidance

CHAPTER

Is the China Reopening a Major Deflationary Force?

The Fed is drawing down the TGA for now to try and do what's called extraordinary means to try and push the debt ceiling, drop that date out to June. So the liquidity is poor, but you've got all this potential liquidity that could come into the market. And that's what's got everybody not worried about liquidity right now: There's a big jungle water on the bench on the table right here and I can walk over there and drink it at any time I want. That would be the potential liquidity. Got it. You know, another, again, something that Chair Powell mentioned, but I'd be curious to get your take because this is one of the sort of narratives

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