[fauigerzigerk]

Agreed, but the difficulty is that the Fed cannot easily distinguish between different kinds of credit demand.

They may justifiably want to keep interest rates low and loans easily available to help businesses and governments roll their pandemic induced debt until they can grow out of it.

But then some other credit worthy borrower comes along and snaps up those cheap loans to buy into some asset market that doesn't need any support.

And where they do have the tools to make that distinction they don't appear to be using them. I don't understand why they keep buying mortgage debt while house prices are already looking dangerously inflated.