by Mike ‘Mish’ Shedlock
The Fed is robbing the middle class once again.
For the third time in 20 years, the Fed has targeted the middle class for the benefit of the wealthy.
Don’t believe Fed lies. Its bailout of risky debt including junk bonds helps investors, not employees.
Once again, the Fed Punishes Prudence.
The Fed will deploy more than $1.45 trillion in support of investors in leveraged assets—more than double the size of the 2008 Troubled Asset Relief Program, and over $7,000 for each working-age American. That includes $750 billion to purchase recently downgraded junk bonds and bond exchange-traded funds—an unprecedented intervention in the private credit markets.