I think this week the Feds hand will be forced to tweak the plumbing to avoid a month end and year end funding crisis. Crypto is currently trading like a stressed funding vehicle reflecting the broken plumbing, while stocks are cushioned by buybacks and performance chasing for now, but risk a repeat of 2018/19 if not solved immediately. It's clear the Fed are concerned, hence the meeting with the banks and NY Fed to understand why the SRF isn't being tapped enough to resolve this. The fear from markets and the Fed is rising. The bigger battle is that the Treasury now wants control over liquidity via the banks (increased lending helps Main St) vs the Fed QE. This allows fiscal and monetary policy to align under the key goal of targeting stimulus to Main St while still allowing for Wall St to benefit from debasement which increases collateral values. QE doesn't leak into Main St. Liquidity management is now a political game, not a monetary policy game. In the end, it's all down to The Everything Code and the economic gravity of financing the debts but politically in a way that doesn't hurt Main St as much (Trump needs to win the midterms). That's the optics but the reality is it's still debasement smoke and mirrors. I'll write this all up in detail in RV Pro Macro this week. This week will be volatile until this is solved. The big fix is eSLR changes which are now becoming more urgent as the key source of financing the deficits and driving liquidity in the future. Not sure when they ramp up communications on that but an interim fix via repo/SRF is very close to being unleashed. You can hear the cowbell in the distance getting rapidly louder and closer. That will usher in the 2026 cycle extension as $7trn of interest payments need to get serviced.(Raoul Pal)