The CrossBorder Capital Blog

Too Big To Exit?   Spurred on by misguided academics, the race is on among policy-makers to shrink Central Bank balance sheets. The outcome could be disastrous because debt-ridden economies demand highly liquid financial markets in order to roll-over and maintain these debts. We question in this report whether the US Fed has become ‘Too Big To Exit’?     See our latest published research, Global View – Too Big To Exit? – February 2022    

China and Emerging Market Liquidity: China Is A Relative Buy ·                 China’s policy stance is decisively tilted towards ‘stability’ and away from ‘growth-at-all-costs’ ·                 The mainspring of the Chinese business cycle is liquidity. China’s People’s Bank operated a relatively tight monetary stance last year and so far shows no signs of changing that in 2022     See our latest published research, China and Emerging Markets Latest GLI™ – February 2022  

Global Liquidity Latest: Bonds Do Not Lie About Upcoming Risks   ·                 Latest inflation trends pushing policy-makers towards a still sharper monetary squeeze. US Fed is not only ‘behind the curve’ on inflation, they are also ‘behind the crowd’ in terms of tightening policy ·                 Currently, investors have more risk exposure than they should have based on economic trends. And, based on liquidity, they should have even less       See our latest published research, Global Liquidity Latest – February 2022