GDP to Money Supply (M2) has seen a sharp and persistent decline in turnover.
The number of times one dollar is used to purchase final goods and services which
are included in GDP.
GDP in Real Terms is deeply Negative, this is what the chart above indicates.
This simply confirms the Reverse Repurchase Facilities behaviors, injections of liquidity
which accumulated on Banks' balance sheets had minimal effect on the real economy.
It has served to create a Risk On environment for Equities which is now struggling as
we see a clear break in trend for RRF's.
These are glacial actions that eventually give way as large masses break off and
begin a journey adrift.
It is the Global Economy that provides the currents and cross-currents.