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Showing posts from December, 2020

World has forgotten about inflation

 Quarantine will end one day, and the economy will start working again. And then there will be a lot of money in the world. Since 2008, the world's financial authorities have found a universal tool to support the global economy. The authorities have learned to respond to almost all economic challenges by turning on the printing press. And in this matter the authorities are apparently not afraid of anything. The coronavirus problem is no exception and has already led to massive liquidity injections. Earlier in January-February, the People's Bank of China poured trillions of yuan into its economy, and now it is the turn of the US Federal Reserve. And the Fed did not hesitate and wasted on trifles. The US Federal Reserve, seeing the record collapse of the financial market, began to "beat" with all its weapons. Last week, the Fed announced that it will provide $ 4 trillion in repurchase agreements by the end of March (a secured loan with future repurchase). This instrumen