What is the core task of a central bank? It inflates government debt and thus secures the power of the political caste. Everything else is just show, theater and a nice distraction from the fact that they are constantly working to divert the purchasing power of citizens into the hands of the political caste. This was also the case yesterday during the press conference with the President of the Federal Reserve, Jerome Powell. Key interest rates are to be kept constant and the first interest rate cuts are to be introduced towards the end of the year. The markets were literally panting for more 'important' information, the inflation outlook was raised slightly, what a miracle given the glut of money in recent years, the labor market remains stable, growth robust! It's all a bit shallow, a bit superficial, without any major perspective If you look around Fiatland, there is one thing that makes you sit up and take notice: the banks' minimum reserve requirements are to be lowered elsewhere. They are the central banks' next big lever for injecting fresh money into the markets. The question is: how do we absorb the tidal wave of government junk bonds that we are going to see in the next few days in view of the debt creation by governments? China and the eurozone are setting the pace here. Both the PBoC and the ECB will or are already lowering the minimum reserve requirements for the purchase of government bonds. As the monetary base and the money supply in general are already rising again globally, we can assume that this will be the Fed's next move. If no major damage has been done by the rapid interest rate hike cycle, we can start the next round of fiat inflation. But then with an inflation (or robbery) target of three percent to keep the growing mountain of debt solvent.