Commercial Banks Taper Treasury Purchases | Joseph Wang & DC Analyst
DC Analyst joins Joseph Wang and Jack Farley for a discussion about commercial banks, treasuries, and bearishness on banks. -- DC on Twitter: @AnalystDC Joseph Wang on Twitter: @FedGuy12 Jack Farley on Twitter: @JackFarley96 Blockworks on Twitter: @Blockworks_ -- Links ___ Liberty Street Economics, "The Fed’s Balance Sheet Runoff and the ON RRP Facility": https://libertystreeteconomics.newyorkfed.org/2022/04/the-feds-balance-sheet-runoff-and-the-on-rrp-facility/ Bullard's Triple Rate Hike Comment: https://www.bloomberg.com/news/articles/2022-04-19/last-resort-fed-hike-enters-debate-as-bullard-invokes-1994-move DC's substack: https://dcchartbook.substack.com/p/chartbook-15?s=r Joseph Wang's writings: https://fedguy.com/draining-the-rrp/ -- (00:00) Introduction To DC Analyst (02:01) Why Are Banks Buying Fewer Treasuries? (14:30) Implosion Of The Japanese Yen (20:40) Who Will Buy The Treasuries? (31:20) What If Banks Don't Lend More? (37:30) Bearish For Banks? (No) (42:47) Quantitative Tightening - Will The Fed Be Forced to Sell? (46:57) Mortgage-Backed Securities (57:40) Bullard's Comments on Triple-Hike