Almooooooost The fed printing more dollars is done in a way designed to push people into riskier products. The literal point is so that people put their money

Almooooooost The fed printing more dollars is done in a way designed to push people into riskier products. The literal point is so that people put their money into the economy instead of parking it in a savings account. So even though your favorite personal finance guru is having you celebrate 1.75% in an Allied Savings account in exchange for referral commissions, the point is for that to be an unattractive use of your money. Basically the fed buys things in exchange for dollars that didnt previously exist. Asset goes on the Fed’s balance sheet, the dollars are in the prior owners pockets. The fed predominantly buys US treasuries, from both the secondary market and directly from the US Treasury. When you buy these you are picking them up at a higher price than the last person, and this lowers the return you can get from the treasuries. The US government treasury bonds being the safest assets by guarantee of getting your money back. When you cant tolerate that yield anymore, you buy higher yielding assets that are less safe. The fed bought the whole yield curve, pushing people to buy more municipal bonds, corporate bonds, junk bonds, stocks, private equity funding startups, houses The whole point is to push people to make their money circulate in the economy Yes the market decided that bitcoin and cryptocurrency would give them ROI, after every socioeconomic class figurd out that houses and stocks are too overpriced to make sense Why not crypto? Okay now that went further than demand would tolerate And as risk off mentality comes back, and as other assets lower on the yield & risk curve come back into better lower pricing, people will likely find them attractive again because they are safer and you’ll also get your 5% annually with no work