🚨 LIQUIDITY WARNING: THE FED IS UNLIKELY TO STOP MONEY PRINTING 💵
Macro strategist Lyn Alden says the Federal Reserve is likely to continue expanding its balance sheet, roughly in line with the growth of:
Total U.S. bank assets
National nominal GDP
📈 Translation: more liquidity is coming into the system.
How the Fed Does It
The liquidity doesn’t appear magically. It enters through:
🏦 Buying U.S. government bonds
📊 Purchasing other financial assets
💰 Supporting the banking system
Why This Matters
Balance-sheet expansion = monetary easing by another name.
More liquidity tends to:
Push asset prices higher
Weaken fiat purchasing power
Favor hard assets and risk assets over time
📌 The Fed may talk about “tightening,” but the math points toward continued expansion.
Watch liquidity.
Everything else is noise.