This summary is from Larry McDonald of Bear Traps Report LLC:
The current policy divergence between the a) PBOC (cutting rates, 530B yuan additional liquidity), b) the ECB — wind down net asset purchases this quarter / set for a 2H rate hike — QT out of the question now, c) BOJ aggressive balance sheet expansion, d) Fed promising 9-12 rate hikes looking out a year with QT aggressively involved. This type of insane monetary policy divergence will clearly break something, that is certain — unsustainable.
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