Here comes more fuel for global inflation.
The European Central Bank has announced that it would, alongside other major central banks, reintroduce three-month dollar liquidity operations in the fourth quarter.
The ECB said it would hold three separate operations between October and December.
"The European Central Bank has decided, in coordination with the Federal Reserve, the Bank of England, the Bank of Japan and the Swiss National Bank, to conduct three US dollar liquidity-providing operations with a maturity of approximately three months covering the end of the year," the ECB said in a statement.
The ECB's operations will be conducted on a fixed rate, full allotment basis, and will be held on Oct.12, Nov.9 and Dec.7.
I'm too stupid to know what a "dollar liquidity operation" is, but it sounds like they plan on buying 3-month treasuries (with euros, I assume), which will yield them a few extra dollars printed up for them courtesy of the Fed, to be converted back to euros later. Am I anywhere close to the mark here?
ReplyDeleteIt means they are stealing from you.
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