QT where art thou...?

What happened to QT?

Going from QE to QT was probably the most talked about macro theme in the markets at the end of last year and during parts of the spring. It was the rock the bears stood on. Now, over the past 6-8 weeks it has been eerily quiet on the QT front from both sell-side and buy-side. Credit Suisse even wrote this one month ago: "We receive almost no questions (which may hint at complacency) on QT. Could QT be the ‘black swan event’?" What has happened? Time to dust off those old QT charts. Are they still relevant and can this come back as a macro-theme?

The elephant in the room