Recent market trends have left many investors puzzled as they try to make sense of the Federal Reserve's actions and their impact on various asset classes. Despite the Fed's apparent tightening of its balance sheet, the stock market has surged by 10% this year, gold prices have reached all-time highs, and bitcoin continues its volatile journey.
The explanation lies in what some are calling 'quiet QE.' While Fed Chair Jay Powell's rhetoric has hinted at a hawkish stance on inflation, the central bank has been quietly injecting liquidity into financial markets, leading to the surge in dollar hedges like gold and bitcoin.
