Interbank Market News Scan: Fed funds, bitcoin, and foreign exchange rates at 9:40 am EST

The takeaway: The role of government is to feed the bond markets … Markets are not the creation of people. … More

Counsel on political leadership. The Democrats need a whole new slate.

Voters in general and Black voters in particular have allowed the Democratic leadership to get away with offering low hanging fruit disguised as something rare and valuable. In a political economy based on credit-capitalism where the government issues debt in order to raise capital for financing vote getting programs and wars, Democratic leadership should have as its primary focus strengthening the thread of the nation-state via its capital allocation (banking) system.

Interbank Market News Scan: No political rhetoric today that impacts the overnight markets in the U.S.

I would think that given the U.S. economy runs on a fractional reserve platform that the Administration and the Congress would politely opine more on monetary policy. The Administration and the Congress appear to prefer the “kick the can across Pennsylvania Avenue and down Constitution Avenue” approach to monetary policy, mentioning it only when it is time to deflect criticisms on his handling of the economy.

Interbank market news scan: The jobs report wraps up the Holy Week.

Mr Biden may have missed an opportunity to craft a narrative that emphasizes the importance of getting ahead of the inflationary impact of blocks of emerging economies threatening to transition from the US dollar to resource-backed currencies. These threats have yet to materialize into something definitive and until then the inflationary impact of dumping the US dollar or at least complementing it with other currencies is a way off.