AI-powered
podcast player
Listen to all your favourite podcasts with AI-powered features
Implications of Liquidity Injections
Anticipating liquidity injections leading to a bullish trend for gold, Bitcoin, oil, commodity stocks, and inflation due to the Federal Reserve's actions in shifting issuance. The reduction in duration issuance by Yellen effectively acted as quantitative easing, increasing bank reserves, loosening financial conditions, and boosting stock prices. This liquidity increase was foreseen as a response to dysfunction in the treasury market.