The Fed must change its policy to avoid systemic risk


18 Oct

The Fed must change its policy to avoid systemic risk

The appreciation of the dollar and high yields disqualify other assets. Rising rates are proving to be a systemic threat. Default risks increase. Dollar liquidity declines. The Fed must change its policy.

Key points

  • Long live the US dollar!
  • The appreciation of the dollar disqualifies other assets
  • A side note on money creation and debt
  • 1.25T of additional costs for the Treasury in 2023?
  • Rising rates are systemic threat
  • Is the Fed aware of the effects of its policy?
  • Increasing systemic risks: the British example
  • What will the Fed finally do?
  • What are the possible effects on financial markets?