Unsurprising, when the government unleashes massive stimulus:
– Unnecessary $136bn ProfitKeeper
– Bank bailout
– Mortgage holidays
– 10bps policy rate
– Yield curve control
– TFF liquidity
– Reno subsidy
– Attacks responsible lending
– Loan guaranteest.co/DpmWkxtr2w— Philip Soos (@PhilipSoos) March 24, 2021
The Fed's COVID-era emergency powers to buy corporate bonds in the secondary market was rescinded in December. Now it requires Congressional approval to be reinstated.
In a meltdown scenario, corporate bonds will be bidless, and they are trading appropriately. pic.twitter.com/Mfbtkyqn1k
— Mac10 (@SuburbanDrone) March 23, 2021