The number of dollars in the economy is a market fundamental. Unless you take that control away from the Fed, it will always remain a force to be reckoned with.
Well that is sort of the point of my post and questioning it.
The market is thinking outside the box, but where is it going?
FedNow hits in July. Is it going there or are they thinking it will collapse on its own petard.
The money supply is just fiat dollars.
Good Faith & Credit and all that rubbish.
The markets are basically saying there is no good faith & credit anymore. It is drying up as the banking emperors have no clothes.
Tangible assets.
>> I don’t really understand how the entity that controls the money supply could ever be considered irrelevant.
I don’t really understand how the untruth of multiple fluid genders took root... or how the untruth of anti-racisim (i.e. anti-white racism) could get established as the de facto law of the developed world... or how the fantasy of “green energy” that weakens and impoverishes nations in the name of “saving the erf” could pass the smell test among supposedly sane people... or...
Well, you get the picture. We are not just living in a post-Fed era, we’re living in a post-TRUTH era.
Exciting times huh.
The Fed can only partially control the amount of money in circulation, since it is also involved in financing government spending, which is controlled by Congress.
It’s traditional tool of controlling interest rates is becoming ineffective. There is now so much debt in existence that it cannot increase interest rates very much since doing so causes the creditors losses on their loans and debtors are unable to pay for debt rolled over at higher interest rates.