Can you feel the calm before the storm?

Central banks are keeping liquidity tight, but a significant inflow of ⁠liquidity is anticipated in the coming months.

Worldwide, central banks are closely monitoring the Fed's policy moves, and it's likely that Yellen will start draining the TGA in sync with the Fed adding liquidity.

As mentioned earlier, major player China and other central banks are waiting for the US, before doing big injections.

It's truly a calm before the storm kicks in.

Global Liquidity decreased by $549B, standing at $127.56T (-0.29%).

Over the past week we can see China has continued to make a notable move with its liquidity injections via Repo skyrocketing by 509.33%.

Also showcasing our MOVE index, which has seen a 3.68% increase.

But why is the MOVE index an important measure to track?

The unprecedented growth of our MOVE Index data reveals the movement of investors towards safer assets as opposed to riskier ones, the preferred ones being U.S. Treasury bonds.

This "flight to safety" approach can cut down the liquidity of the riskier asset classes, as the funds get diverted to the more stable investments.

It can be observed that the levels of liquidity increase in China, but some concealed forces can cause its decrease.

From what we comprehend, the MOVE index has induced Global Liquidity stagnation.

Our 3M and 12M RoC has also remained stagnant however still continuing to show a bullish agenda.