📊Update on the Fed injecting liquidity at the end of 2025,
The FED is injecting liquidity into the financial system mainly through 2 main channels:
1/ Treasury bond purchase program to manage reserves: Buying about 40 billion US dollars in short-term treasury bonds each month (starting from 12/12).
✅ This is a permanent money injection to maintain a robust reserve level after ending QT.
2/ Overnight repurchase agreements: Temporarily injecting liquidity totaling tens of billions of US dollars in the month (for example: 6.8 billion on 12/22 and about 38 billion in the last 10 days) to reduce year-end liquidity pressure.
☑️ This is not QE like during the previous Coviv period, but merely technical measures to stabilize the market.
🚀 However, it is also a slightly positive signal for risk assets like #bitcoin
