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Unusual Whales Pod #9: CPI, Macro, the Federal Reserve, and Inflation

Unusual Whales

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Qt

The tail risks of QT have first appeared on the guilt market where significant price volatility prompted official intervention. What appears to be a liquidity issue will ultimately become a financial stability issue as investors discover their quote unquote safe assets are not indeed safe. The Fed, if you listen to them, has been kind of noting that there are spillovers of policy. For example, if you're a Mexican company who borrowed in dollars, now your dollar liabilities are worth more.

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