"Nothing Else Matters": Central Banks Have Bought A Record $1.5 Trillion In Assets In 2017

One month ago, when observing the record low vol coupled with record high stock prices, we reported a stunning statistic: central banks have bought $1 trillion of financial assets just in the first four months of 2017, which amounts to $3.6 trillion annualized, "the largest CB buying on record" according to Bank of America. Today BofA's Michael Hartnett provides an update on this number: he writes that central bank balance sheets have now grown to a record $15.1 trillion, up from $14.6 trillion in late April, and says that "central banks have bought a record $1.5 trillion in assets YTD."

The latest data means that contrary to previous calculations, central banks are now injecting a record $300 billion in liquidity per month,above the $200 billion which Deutsche Bank recently warned is a "red-line" indicator for risk assets.

This, as we said last month, is why "nothing else matters" in a market addicted to what is now record central bank generosity.

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