{"id":58813,"date":"2021-07-29T16:08:59","date_gmt":"2021-07-29T21:08:59","guid":{"rendered":"https:\/\/olduvai.ca\/?p=58813"},"modified":"2021-07-29T16:08:59","modified_gmt":"2021-07-29T21:08:59","slug":"game-over","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=58813","title":{"rendered":"Game Over"},"content":{"rendered":"

Game Over<\/a><\/h3>\n
\"\"<\/a>Game over. Occam\u2019s Razor: The simplest explanation is often the best one. Central banks will never extract themselves. Whether they ultimately end QE is besides the point. They won\u2019t reduce their balance sheets. They can\u2019t. Powell\u2019s \u201cperformance\u201d yesterday was not an accident. He\u2019s been running on the same theme of offering absolutely zero specifics. Why? 3 reasons: 1. There are none as there is no plan. 2. To maintain flexibility and not to be held accountable or anything 3. To not upset markets.<\/p>\n

We saw this recently when he actually got challenged on MBS and QE. He couldn\u2019t and wouldn\u2019t offer a rationale as to what is actually economically accomplished by it:<\/p>\n