Unfair competition?
The Fed's credit-enhanced gift to flighty depositors, the RRP, needs attention.
““O ye'll tak' the high road, and I'll tak' the low road”
Friday headline: “Rally in bank stocks ahead as bank crisis appears contained.” I’m not sure the crisis can be considered contained until a source of financial instability has been addressed. On 31st March, money market funds offered nearly 4.8%, thanks to the Fed’s RRP. Meanwhile, bank deposits t…
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