There’s a hidden market that might crash the economy in 2025. Tariff chaos. Leverage in the Repo Market. A burgeoning liquidity crisis. There’s an iceberg, dead ahead, only we can’t see below the surface to know how big it is. In this episode Max takes a big swing at the existential crisis brewing in the financial markets. Trump’s tariffs, declining economic data and slumping global demand will potentially neutralize half of the Fed’s crisis response arsenal. The logical and expected response to what is shaping up to be a catastrophic summer is the “Fed Put.” In other words, another bailout. But if the Fed looks to expand its balance sheet to accomplish this during a liquidity crisis, will the buyers of U.S. debt show up? Inflation and a weak dollar, frayed nerves in the bond market and more reckless behavior coming out of the White House could cause a run on the big banks and other firms that live in the “shadow repo” market leaving the Fed balancing the world on its shoulders.

Access the episode resources.

Resources

Apollo Global Management: How are US consumers and firms responding to tariffs?

LendingTree: BNPL Tracker: 41% of Users Late in Past Year

The Fed: What Happened in Money Markets in September 2019? 

Brookings Papers on Economic Activity: Treasury Market Dysfunction and the Role of the Central Bank

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Visit our bookshop.org page at bookshop.org/shop/UNFTRpod to find the full UNFTR book list, and find book recommendations from our Unf*ckers at bookshop.org/lists/unf-cker-book-recommendations.

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Unf*cking the Republic is produced by 99 and engineered by Manny Faces Media (mannyfacesmedia.com). Original music is by Tom McGovern (tommcgovern.com). The show is hosted by Max and distributed by 99.

There&rsquo;s a hidden market that might crash the economy in 2025. Tariff chaos. Leverage in the Repo Market. A burgeoning liquidity crisis. There&rsquo;s an iceberg, dead ahead, only we can&rsquo;t see below the surface to know how big it is. In this episode Max takes a big swing at the existential crisis brewing in the financial markets. Trump&rsquo;s tariffs, declining economic data and slumping global demand will potentially neutralize half of the Fed&rsquo;s crisis response arsenal. The logical and expected response to what is shaping up to be a catastrophic summer is the &ldquo;Fed Put.&rdquo; In other words, another bailout. But if the Fed looks to expand its balance sheet to accomplish this during a liquidity crisis, will the buyers of U.S. debt show up? Inflation and a weak dollar, frayed nerves in the bond market and more reckless behavior coming out of the White House could cause a run on the big banks and other firms that live in the &ldquo;shadow repo&rdquo; market leaving the Fed balancing the world on its shoulders.
<a href="https://www.unftr.com/episodes/unftr152">Access the episode resources</a>.
Resources
Apollo Global Management: <a href="https://www.apolloacademy.com/wp-content/uploads/2025/04/042625-ConsumerandFirms_v2.pdf">How are US consumers and firms responding to tariffs?</a>
LendingTree: <a href="https://www.lendingtree.com/personal/buy-now-pay-later-loan-statistics/">BNPL Tracker: 41% of Users Late in Past Year</a>
The Fed: <a href="https://www.federalreserve.gov/econres/notes/feds-notes/what-happened-in-money-markets-in-september-2019-20200227.html">What Happened in Money Markets in September 2019?</a>&nbsp;
Brookings Papers on Economic Activity: <a href="https://stein.scholars.harvard.edu/sites/g/files/omnuum5951/files/2025-04/KSWY%20Brookings%20conference%20draft.pdf">Treasury Market Dysfunction and the Role of the Central Bank</a>
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If you like #UNFTR, please leave us a rating and review on Apple Podcasts and Spotify: <a href="https://unftr.com/rate">unftr.com/rate</a> and follow us on <a href="https://www.facebook.com/Unfucking-The-Republic-102319714930389">Facebook</a>, <a href="https://bsky.app/profile/unftr.com">Bluesky</a>, <a href="https://www.tiktok.com/@unftrpod">TikTok</a>&nbsp;and <a href="https://www.instagram.com/unftrpod/">Instagram</a> at @UNFTRpod. Visit us online at <a href="https://www.unftr.com/">unftr.com</a>. Join our Discord at <a href="https://www.unftr.com/discord">unftr.com/discord</a>.
Become a member at <a href="https://www.unftr.com/memberships">unftr.com/memberships</a>.
Buy yourself some Unf*cking Coffee at <a href="https://shop.unftr.com/">shop.unftr.com</a>.
Visit our bookshop.org page at <a href="https://bookshop.org/shop/UNFTRpod">bookshop.org/shop/UNFTRpod</a> to find the full UNFTR book list, and find book recommendations from our Unf*ckers at<a href="https://bookshop.org/lists/unf-cker-book-recommendations"> bookshop.org/lists/unf-cker-book-recommendations</a>.
Access the UNFTR Musicless feed by following the instructions at <a href="https://www.unftr.com/accessibility">unftr.com/accessibility</a>.
Unf*cking the Republic is produced by 99 and engineered by Manny Faces Media (<a href="https://www.mannyfacesmedia.com">mannyfacesmedia.com</a>). Original music is by Tom McGovern (<a href="http://www.tommcgovern.com/">tommcgovern.com</a>). The show is hosted by Max and distributed by 99.

Unf*cking The Republic® (UNFTR) is dedicated to progressive politics, leftist economic theories, and social justice in the United States. Join us for deep dives into socialism, labor rights, climate justice, and the fight against inequality. Whether you're curious about Marxist ideas, modern social movements, or progressive policies, UNFTR delivers thoroughly sourced critiques, analyses, and interviews with the historical context mainstream media won't provide. Subscribe for informative and unabashedly progressive coverage of the leftist political and economic landscape.

Unf*cking The Republic&reg; (UNFTR) is dedicated to progressive politics, leftist economic theories, and social justice in the United States. Join us for deep dives into socialism, labor rights, climate justice, and the fight against inequality. Whether you're curious about Marxist ideas, modern social movements, or progressive policies, UNFTR delivers thoroughly sourced critiques, analyses, and interviews with the historical context mainstream media won't provide. Subscribe for informative and unabashedly progressive coverage of the leftist political and economic landscape.

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