Welcome to the QE5

/u/erjo5055Cryptocurrency News & Discussion https://ift.tt/iy2hdW4

I see QE5 (next stage of Quantitative Easing) to be closer than you think because of the developments in Russia:

• Civil war is resolved in days or weeks and new president comes into power / Putin needs to focus on internal stability and re-consolatating power

• New president / Putin will need to be more friendly to the west while resolving internal threats (like Putin was in early 2000s). Opening up to the west economically will help them rebuild, even with minimal foreign investment.

• Santions reduce and a new era Martial Plan go into effect for Ukraine, lots of new work created (500b USD expected to be needed to rebuild)

• Energy and food costs are reduced globally sharply cutting inflation as both economies restart. Ukraine receives foreign investment to develop oil reserves and supply cheap oil to Europe. Combined with high global interest rates inflation reduces rapidly. Remember high energy costs and food costs are the drivers of current inflation, now they will push costs in the other direction. It's not crazy to see sub 2-3% inflation in 6M-2Y, or even 0-1%

• Fed lowers rates in 6M - 2Y after acheiving or exceeding inflation goals while new debt is created, and central bank balance sheets increase paying to reconstruct.

• Russias global power deminishing signifcantly as a result of this botched invation weaken China's position to make a move on Taiwan. Better cooperation between East and West, since East feels it can't compete militarily as well without Russia and West just flexed its collective power.

• Global outlook appears more peaceful boosting consumer confidence

Crypto/Stonks go up as a result of all of above

Bold is TLDR

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