How can the Fed cut rates if liquidity is still high?Liquidity is the driving force for higher assets and higher inflation. Now with the US equity indices at new all time highs as shown in the chart below, how can the Fed cut rates if liquidity is still high? by JK_Market_Recap110
🇺🇸 US2M - QE To buy the US Debt again ? 💎Here's an intriguing observation I'd like to discuss. The increasing number of diamond 💎💎 alerts serves as a warning sign indicating an imminent significant market move. - What is the US2M? The M2 money supply is a measure of the total amount of money in circulation within an economy that includesLongby IllumiTrade0
Plenty of liquidity in the market + more liquidity to come?We still have distortions from the monetary liquidity introduced during the pandemic. The bottom indicator is the 12-month rate of change. We can see an extreme expansion in M2 and subsequent contraction. On the other hand, we can see that the M2 line still shows a big stock of liquidity compareLongby HenriqueCentieiro2
Quantitative Support in the US1. Liquidity and Investments: An increase in M2 typically means there is more liquidity in the economy, as consumers and businesses have more cash or cash-equivalents at their disposal. This excess liquidity can lead to increased investment in stocks, including those in the S&P 500, driving up stocLongby BackQuant11
SOLOS-CHART2013(KAFKA)1. Lines representing the money supply metrics for the United States (US M2 - blue line) and the central banks for Japan (JP M2 - purple line) and the European Union (EU M2 - dotted purple line), charted against the left vertical axis as percentages. The money supply data shows a significant increasby Kafka_BoardGame1
Latest Solos-Chart(KAFKA)1. Lines representing the money supply metrics for the United States (US M2 - blue line) and the central banks for Japan (JP M2 - purple line) and the European Union (EU M2 - dotted purple line), charted against the left vertical axis as percentages. The money supply data shows a significant increasby Kafka_BoardGame110
Business Cycle Rotation Part 5In the first four installments we described an exercise utilizing the momentum in asset classes, the relationship between those classes and the Organization for Economic Co-operation and Development (OECD) Composite Leading Indicator (CLI) for the United States, to anticipate the business cycle and by CMT_Association3312
A lot of moneyA lot of money: USM0 = 5,559,000,000,000 USM1 = 18,320,000,000,000 USM2 = 20,865,000,000,000 USMR = 7.9% US10Y = 4.935% These gradations are in decreasing order of liquidity. M0: Strictly coin & note currency in circulation plus commercial bank reserve balances at Federal Reserve Banks; M0 is oftby Options360Updated 0
Money Supply Contraction Means What?If you have seen the general news that M2 Money Supply is contracting at the greatest rate in 50 years, then you may be wondering why it is happening and what it means. I hope you do, at least. Money Supply is a general term that means the total money available to an economy in the form of cash monby timwest5522
USM2 and SPX, "Printer goes Brrr"This in the past five years has been a very strong topping signal, I'm not sure if there's much more to add. The platform wants me to add some blurb to meet it's guidelines but what can I tell? The chart speaks for itself. Hope you've found it useful, it's certainly one of many things I have includeby EdwinPus0