Is The Fed Enabling Foreign Central Banks To Swap Out Their Agency Debt Into Treasuries?

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Tyler Durden

Another quite intriguing piece by Chris Martenson "The Shell Game - How The Federal Reserve Is Monetizing Debt" reveals some of the intricacies of the Fed's monetization game and, by digging deeper into the Fed's Custody Account, demonstrates not just how the Federal Reserve is enabling foreigners to swap out of Agencies into Treasuries, but how it is implicitly monetizing a markedly larger portion of debt than is assumed.

For the full details of the article we eagerly refer readers to the original Martenson piece, but in a nutshell here are the components of what Martenson coins "The Fed's Shell Game":

Is The Fed Enabling Foreign Central Banks To Swap Out Their Agency Debt Into Treasuries? | zero hedge

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