What I will be seeking:
- Between minimizing the banking system crisis and inflation control, which is more important, if the Fed has to choose one? I don’t think that Chairman Powell will want to answer this one.
- If the banks gradually reduce their size, and as a result, make fewer loans, doesn’t that change the Fed’s thought on slower economic activity? The answer has to be yes, so I am looking for the follow-up question: how much???
- If the banking crisis reduces economic activity, is Quantitative Tightening (QT) necessary any longer?
Understanding Markets: In Case You Missed It