The Federal Reserve is injecting $8.07 billion into the market at 9:00 AM this morning.

This news itself is not new—The Fed regularly conducts repurchase operations. But the timing is very delicate.
Some say: The Fed has lost control and has opened the printing presses.
This statement is misleading.
This is not printing money; it’s open market operations. The Fed does this every day, just in small amounts.
$8 billion is not considered out of control for the Fed’s balance sheet.
But—
Currently, market sentiment is extremely tense. Oil prices are volatile, geopolitical tensions are rising, and stock futures are falling.
In this context, how will the market interpret this liquidity injection?
Two words: panic.
Interestingly, the timing is: 9:00 AM ET, one hour before the US stock market opens.
Doing this at this time is usually not a coincidence.
It’s either to support the market or to prevent liquidity tensions from spreading.
So I don’t quite agree with the term “out of control.”
The Fed is not out of control. It’s expectations that are out of control.
When the market overprices negative news, any liquidity injection is seen as “they only rescue when things go wrong.”
And once this interpretation takes hold, it’s more dangerous than the liquidity injection itself.
In one sentence: The Fed’s actions should be watched, but what’s more important is how the market interprets these actions.
When emotions are panicked, good news can also be seen as bad news.
#特朗普最后期限施压伊朗