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Monday, November 24, 2008

Weekly reserves and monetary base update



Reserve balances with Federal Reserve banks

Now up to $634 billion. This is the money that will be used to buy Treasury securities. It has already been put into the banking system as a result of Fed actions and Gov't spending.

Monetary Base

Up by $700 billion since September. Where did this money come from? Answer: Federal reserve credits and gov't spending.

3 comments:

  1. I don't want to be offensive, but... you are not the Peter Norman in this video, are you?

    http://www.youtube.com/watch?v=2I0QN-FYkpw ?

    If not, my sincerest apologies.

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  2. Schiff may have guessed right, but so did a lot of other people. What is astonishing is that all of his investments did poorly, by his own admission. Moreover, the investments that should have fared the worst under his paradigm--U.S. Treasuries and the dollar--did best. Again, by his own admission.

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  3. Hi Mike

    LOVED the rebuttal of Schiff on today's show. All very well said.

    Scott

    ReplyDelete