That's it, just have them use unlimited amounts of pennies to buy stocks and keep the market inflated, once again no such thing as free markets but it doesnt matter anymore. . They will do absolutely everything to pump stocks up. https://www.cnbc.com/2020/03/29/wha...-buying-stocks-during-coronavirus-crisis.html
What, like you didn't already know that FOMC only cares about propping up the stock market? To them, THAT IS THE BAROMETER. They can care less about the REAL economy.
No new idea, BOJ has been buying ETFs in large volume during crises. Keep in mind that orderly markets are one of the policy goals of central banks, they don't finance governments, they simply shrink and expand balance sheets to manage funding constraints. Nothing new.
Not surprised. High chance will be see it this year. Congress will approve it easily. Now, how well did it turn out for Japan???
Quite well, they, along other CBs alleviated the 2008 panic and stabilized markets significantly. The cost to the economy and common man would have been a many fold higher without intervention. I am not a proponent for constant market intervention. But there are times imho when intervention is necessary. For example (though it's the government not the Fed here) , do you want Airlines to all go bankrupt each crisis just to see new ones to be born who make the same mistakes in the next crisis? What is needed is not less CB intervention or more CB intervention but more stringent regulation. Regulate and force companies to build up reserves just as banks and there will be money on the sidelines during crises. The main problem of our times in the economy is not central bank intervention but lack of stringent regulation. Leave corporations to their own devices and nothing good will come out for the common man.
Of course not. Major industries need to be saved, but it should come with regulation tab. Airlines spent 96% of reserves on stock buy backs and now crying for help. You take tax payers money, you get f..cken regulated.