{"id":52394,"date":"2020-04-11T12:01:56","date_gmt":"2020-04-11T17:01:56","guid":{"rendered":"https:\/\/olduvai.ca\/?p=52394"},"modified":"2020-04-11T12:02:02","modified_gmt":"2020-04-11T17:02:02","slug":"macroview-is-the-debt-chasm-too-big-for-the-fed-to-fill","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=52394","title":{"rendered":"#MacroView: Is The \u201cDebt Chasm\u201d Too Big For The Fed To Fill?"},"content":{"rendered":"\n<h3 class=\"wp-block-heading\"><a href=\"https:\/\/realinvestmentadvice.com\/macroview-is-the-debt-chasm-too-big-for-the-fed-to-fill\/\">#MacroView: Is The \u201cDebt Chasm\u201d Too Big For The Fed To Fill?<\/a><\/h3>\n\n\n\n<p>Over the last month, the Federal Reserve, and the Government, have unleashed a torrent of liquidity into the U.S. markets to offset a credit crisis of historic proportions. Here is a list of programs already implemented which have already surpassed all programs during the&nbsp;<em>\u201cFinancial Crisis.\u201d<\/em><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>March 6th \u2013 $8.3 billion&nbsp;<em>\u201cemergency spending\u201d<\/em>&nbsp;package.<\/li><li>March 12th \u2013 Federal Reserve supplies&nbsp;<strong>$1.5 trillion in liquidity.<\/strong><\/li><li>March 13th \u2013 President Trump pledges to reprieve student loan interest payments<\/li><li>March 13th \u2013 President Trump declares a&nbsp;<em>\u201cNational Emergency\u201d<\/em>&nbsp;freeing up $50 billion in funds.<\/li><li>March 15th \u2013 Federal Reserve cuts rates to zero and launches&nbsp;<strong>$700 billion in \u201cQ.E.\u201d<\/strong><\/li><li>March 17th \u2013 Fed launches the&nbsp;<strong>Primary Dealer Credit Facility<\/strong>&nbsp;to buy corporate bonds.<\/li><li>March 18th \u2013 Fed creates the&nbsp;<strong>Money Market Mutual Fund Liquidity Facility<\/strong><\/li><li>March 18th \u2013 President Trump signs \u201ccoronavirus\u201d relief plan to expand paid leave&nbsp;<em>($100 billion)<\/em><\/li><li>March 20th \u2013 President Trump invokes the Defense Production Act.<\/li><li>March 23rd \u2013 Fed pledges<strong>&nbsp;\u201cUnlimited QE\u201d<\/strong>&nbsp;of Treasury, Mortgage, and Corporate Bonds.<\/li><li>March 23rd \u2013 Fed launches two Corporate Credit Facilities:<ul><li><strong>A Primary Market Facility<\/strong>&nbsp;<em>(Issuance of new 4-year bonds for businesses.)<\/em><\/li><li><strong>A Secondary Market Facility<\/strong>&nbsp;<em>(Purchase of corporate bonds and corporate bond ETF\u2019s)<\/em><\/li><\/ul><\/li><li>March 23rd \u2013 Fed launches the&nbsp;<strong>Term Asset-Backed Security Loan Facility<\/strong>&nbsp;<em>(Small Business Loans)<\/em><\/li><li>April 9th \u2013 Fed launches several new programs:<ul><li>The&nbsp;<strong>Paycheck Protection Program Loan Facility<\/strong>&nbsp;<em>(Purchase of $350 billion in SBA Loans)<\/em><\/li><li>A&nbsp;<strong>Main Street Business Lending Program<\/strong>&nbsp;<em>($600 billion in additional Small Business Loans)<\/em><\/li><li>The<strong>&nbsp;Municipal Liquidity Facility<\/strong>&nbsp;<em>(Purchase of $500 billion in Municipal Bonds.)<\/em><\/li><li>Expands funding for&nbsp;<strong>PMCCF, SMCCF and TALF up to $850 billion.<\/strong><\/li><\/ul><\/li><\/ul>\n\n\n\n<p>Here is the Fed\u2019s balance sheet through this past Wednesday&nbsp;<em>(estimated at time of writing)<\/em><\/p>\n\n\n\n<figure class=\"wp-block-image\"><a href=\"https:\/\/realinvestmentadvice.com\/wp-content\/uploads\/2020\/04\/Fed-Balance-Sheet-040920.png\"><img decoding=\"async\" src=\"https:\/\/realinvestmentadvice.com\/wp-content\/uploads\/2020\/04\/Fed-Balance-Sheet-040920.png\" alt=\"\" class=\"wp-image-431296\"\/><\/a><\/figure>\n\n\n\n<p>It is currently expected that over the course of the next several quarters, the Fed\u2019s balance sheet will grow to $10 Trillion in total. Such would be a $6 Trillion expansion from the previous levels.<\/p>\n\n\n\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n","protected":false},"excerpt":{"rendered":"<p>#MacroView: Is The \u201cDebt Chasm\u201d Too Big For The Fed To Fill? Over the last month, the Federal Reserve, and the Government, have unleashed a torrent of liquidity into the U.S. markets to offset a credit crisis of historic proportions. Here is a list of programs already implemented which have already surpassed all programs during [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[195,303,7819,538,661,3650],"class_list":["post-52394","post","type-post","status-publish","format-standard","hentry","category-economics","tag-debt","tag-fed","tag-fed-balance-sheet","tag-money-printing","tag-qe","tag-us-federal-reserve"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/52394","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=52394"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/52394\/revisions"}],"predecessor-version":[{"id":52395,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/52394\/revisions\/52395"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=52394"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=52394"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=52394"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}