🚨 FED DROPS $13.5 BILLION MARKET PLAYBOOK JUST CHANGED! 💥📈📉
In a single day, the entire liquidity landscape flipped. On December 1, the Fed executed one of its largest liquidity injections since the pandemic:
💰 $13.5 BILLION in overnight repos — a clear signal that the system has hit the Fed’s liquidity floor.
This wasn’t by chance.
🛑 Quantitative Tightening (QT) is officially over.
After 3.5 years of shrinking its balance sheet, the Fed is now reinvesting all maturing Treasuries and MBS. No more draining — liquidity is back in play.
• Banks deposited $13.5B in Treasuries with the Fed
• The Fed accepted every bit
• Instantly injected $13.5B of fresh reserves into the system
Even if short-term, the message is loud and clear:
🔔 The Fed won’t let liquidity dry up any further.
This is the second-largest liquidity boost since 2020, right after the $29.4B surge in late October.
short signal $RECALL
