Just in time

Nice, excess reserves quit leaving just as the fed eased. The red line, way at the end of the series, levels out. The curve also straightened out, I might add.

Now, all eyes are focused on the ten year. At 2.75,  it is already unsupportable by taxpayers with a 1% growth rate.  Cornered, tapped, stuck, muck, yech, egad.

A normal currency banker would have done a bond burning, forced a budget reconciliation, like a credit risk manager.

Why real inflation?

We haven't had real inflation since 1972, and we have done everything with double entry accounting money.  That has backed a whole bunch of unpriced currency risk back into government, and the Fed can never prices it. The currency banker wants real inflation expensed more often, fake inflation fouls the books.

The unpriced inflation appears in all the price triggers and CPI corrections in government contracts. These protections do not have  scofflaw queue, and the price of error is unknown. Thus, part of the solution is get large government agencies accounts at the Fed. There is mutual gain in stabilizing the real goods flow between across private and public sector, make the tree trunk rounder.