The David Lin Report · Tuesday, June 30, 2026
Lawrence Lepard explains the 'debasement trade' as the thesis that governments running deficits must monetize their debt by printing money. He criticizes the Federal Reserve's role, stating their job is to create inflation and lie about it to keep the system running, often by expanding their balance sheet.
“So the debasement trade is just the thesis that, you know, the government, because they are running a large deficit, they have to basically more or less monetize it.”
“The job of the Fed, I mean, I I say this over and over again. The job of the Fed is to create inflation and lie about it.”
“They got to create enough inflation to keep the system running, cuz they don't want the system to collapse.”