“The Race To The Top”: How The Fed Unleashed A Global Liquidity Crisis
by Tyler Durden
ZeroHedge.com
Tue, 09/11/2018
Following a lament by Urjit Patel, the head of the Reserve Bank of India, who three months ago predicted (correctly) that the Fed’s tightening coupled with the shrinking of its balance sheet and the ramp up in Treasury issuance would result in a dollar liquidity shortage and that “a crisis in the rest of the dollar bond markets is inevitable” unless something changed, we showed how shrinking liquidity as a result of Quantitative Tightening had emerged as the main culprit for the turmoil and “rolling bear markets” that have hit the rest of the world, courtesy of the following chart from Nedbank.
The Rest…HERE
