We suspect the stock market crash, economic destruction, and forfeiture of freedoms will persist long after the coronavirus hobgoblin has been put to bed.
With respect to the stock market, the modus operandi of the last 11 years is being stood on its head. Rather than 'buy the dip.
If you recall, the U.S. stock market commenced a multi-year swan dive in autumn of 1929.
Given the rapid and relentless stock market carnage over the last month, and the prospect of a lengthy depression, a closer look is in order.
The 1929 through 1932 bear market, as noted by Pater Tenebrarum, was like a rubber ball bouncing down stairs.
Fed Chairman Jay Powell's pulling out all the monetary stops - zero interest rate policies, quantitative easing, repo madness - to pump liquidity into credit markets.
The sole intent of the MMLF is to keep short-term credit markets from frosting over like the Alaskan tundra, and breaking the buck.
https://economicprism.com/is-the-panic-worse-than-the-virus/
With respect to the stock market, the modus operandi of the last 11 years is being stood on its head. Rather than 'buy the dip.
If you recall, the U.S. stock market commenced a multi-year swan dive in autumn of 1929.
Given the rapid and relentless stock market carnage over the last month, and the prospect of a lengthy depression, a closer look is in order.
The 1929 through 1932 bear market, as noted by Pater Tenebrarum, was like a rubber ball bouncing down stairs.
Fed Chairman Jay Powell's pulling out all the monetary stops - zero interest rate policies, quantitative easing, repo madness - to pump liquidity into credit markets.
The sole intent of the MMLF is to keep short-term credit markets from frosting over like the Alaskan tundra, and breaking the buck.
https://economicprism.com/is-the-panic-worse-than-the-virus/
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