The Fed may need to head off a money market mess
Repost from 3-2-2021
“Investors are worried that a flood of cash could soon disrupt U.S. money markets, as the Treasury rushes to rid itself of money that Congress won’t allow it to keep. It’s a possibility that the Federal Reserve would do well to anticipate. “
USAGOLD note: Should this newfound liquidity actually materialize, it will be interesting to see what it generates in the economy and financial markets. Dudley sees it as another wolf at the Fed’s door.