The David Greene Show Mortgage Monday I The Stimulus No One’s Talking About I Episode 110
9 snips
Jan 19, 2026 Christian Bachelder, a mortgage industry expert and co-host on Mortgage Monday, shares critical insights on a new stimulus initiative, Reserve Management Purchases (RMPs), that mimics quantitative easing. They discuss the vast influx of liquidity into the economy and its potential impact on inflation and home prices. Christian highlights which markets may thrive or struggle under these conditions, warns about inflation's effects on retirement savings, and encourages asset ownership as a safeguard against economic instability.
AI Snips
Chapters
Transcript
Episode notes
RMPs Are QE In New Clothing
- The Fed's new Reserve Management Purchases (RMPs) function like QE by creating artificial demand for government debt.
- Christian and David say the Fed repackaged QE to avoid scary labels while still injecting liquidity into markets.
Forty Billion A Month Moves Markets
- The Fed plans roughly $40 billion a month in short-term Treasury purchases, which effectively injects fresh liquidity into the banking system.
- David warns this scale of money creation historically erodes dollar value and fuels inflation and asset-price rises.
RMPs Focus On Short-Term Liquidity
- RMPs target short-term debt like T-bills to lower short-term funding rates for banks rather than directly buying long-term bonds.
- Christian suggests the Fed hopes cheaper short-term funding will encourage banks to lend more to consumers and businesses.