Fed Reverse Repo Useage Rises To $2.28T As Fed Hikes Target Rate To 5%,+25 BPS (Fed Dots Look Like Ski Slope)

As expected, The Federal Reserve raised their target rate (upper bound) to 5%, up 25 basis points. At the same time, Fed Reverse Repo useage soared to $2.28 trillion as banks hide from inflation.

Here is today’s Fed FOMC decision.

The Fed’s DOTs project looks like a ski slope with rates lower over the next few years (return of QE??)

Treasury Secretary Janet “The BIG Statist” Yellen loves Modern Monetary Theory (MMT).

Aftermath! The Fed is out of time!

After The Fed’s announcement, the 10-year Treasury yield fell -12.8 basis points.

And the 2-year Treasury yield dropped -20.9 basis points.

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