Operation Twist Archive

Fed WSJ Article on QE/Twist

From: Fed Weighs ‘Sterilized’ Bond Buying if It Act Many Fed officials believe strongly the bank reserves it has created as part of this money creation aren’t an inflation threat. But they are acutely aware of a popular perception, also held by a few inside the Fed itself, that the money the ...Read More

The Fed’s operation tweet vs twist

Seems to me the force keeping yields down on the short end can be called operation tweet, as the Fed is simply announcing its forecasts for lower rates, which are subject to immediate change, data dependent. But with operation twist, the Fed actually buys the longer term securities vs just talking about ...Read More

Payrolls and a Fed rant

Utter failure of policy. The Fed was certain it knew what Japan had done wrong and wasn’t going to make THOSE mistakes. So it Cut rates much more aggressively. Said it would do whatever it takes. Figured out how to do its job as liquidity provider after only 6 months of alphabet ...Read More