From Thin Air

Sgt Roger Murtaugh: That's pretty thin.
Sgt Martin Riggs: Anorexic! 
--Lethal Weapon

With the Fed buying everything in sight, its balance sheet is going vertical. The Fed added nearly $600 billion in assets in the last week, and is now carrying over $5.2 trillion in assets.

Fed balance sheet moves up to $5.254 trillion, a new high. In the last week it increased $586 billion, the largest weekly increase ever (prior record was $356 billion last week, and before that $292 billion from Sep 24-Oct 1 in 2008). pic.twitter.com/KH9Z5sMVHm

— Charlie Bilello (@charliebilello) March 26, 2020

This could go much higher depending on how long the COVID-19 lock down continues and the amount of economic destruction that the lock down leaves in its wake. While the over/under in my head currently stands at $10 trillion, I certainly hope for a downside surprise.

Meanwhile, it is important to remember that the Fed is doing all of this with money created out of thin air.