2026 WILL BE THE YEAR OF TRUMP'S QE 🚨
Yes, I'm not talking about the Fed's QE here.
For those who don't know, 2026 is the midterm election year.
Right now, the market expects that Republicans will lose the House.
This means the current administration is going to provide a lot of freebies, and it has already started.
The 1st one is $200B in mortgage bond buying, which will push mortgage rates down.
Lower rates mean:
• Cheaper home loans
• Lower monthly payments
• More spending power for households.
That’s direct liquidity into the economy.
The 2nd one is the announcement of capping the credit card interest at 10%.
Most Americans pay 20%+ today, which means the interest costs will be cut almost in half.
This will lead to more savings and give instant financial relief.
The 3rd one is tariff dividend.
Trump is talking about sending $1,000–$2,000 to middle-class Americans in 2026, which will be funded by the $600B+ already collected in tariffs.
This works like stimulus:
• More cash
• More spending
• More liquidity
The 4th one is the call for big rate cuts.
Trump wants rates near 1%, and he's also putting in a new Fed chair this year who will be pro-rate cuts and pro-liquidity.
Lower rates mean:
• Cheaper borrowing
• Higher asset prices
• Easier financial conditions everywhere.
And if you put it all together:
• Mortgage bond buying
• Credit card rate caps
• Tariff dividend
• Low interest rates
This is a major liquidity injection, but it will happen from Trump and not the Fed.
And I think the markets are already sensing it:
• Stocks are hitting new highs
• Precious metals are strong
• Liquidity expectations are rising.
Crypto is lagging for now because it's following the 4-year cycle.
But historically, crypto has always been the fastest horse to move when liquidity expands.
It'll be interesting to see how long the crypto market ignores this as, some really influential people have started calling for a supercycle too.
