A central theme in Howell’s analysis is the assertion that liquidity flows have become crucial in understanding the modern financial landscape. In recent years, particularly since the global financial crisis, the nature of capital investment has evolved. Interest rates, which historically served as a critical indicator of capital allocation, have... See more

On our calculations, as much as three- quarters of primary transactions now consist of debt roll-overs rather than new capital raising. These refinancings require liquidity in the form of balance sheet capacity within the financial sector. In addition, liquidity itself needs good-quality debts, like US Treasury bonds, to back it. According to the

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