A minor little drop and now all of the sudden rate cut talks are back on the table. Unbelievable. https://www.cnbc.com/2020/01/31/mar...ederal-reserve-for-at-least-one-rate-cut.html
One more drop like today and, man, you can bet we'll see another round of Jim Cramer and his infamous "You have no idea how bad it is out there, no idea!!!"
If US rates go negative, it will basically blow up the global financial system, as every G7 economy will then be capital destructive...not much the Fed can do from 1.5% levels. They will certainly try though.
https://thebalticbriefing.com/weekly-dry-report/ https://tradingeconomics.com/commodity/baltic The US economy can't stay in the pre-bear euphoria forever, the real world exists and the corona virus is going to slow things. OF course it will turn but it has no rational reason to for months.
I agree. No one has any idea how close this market is to collapsing and on edge due to the fact the fed has put the markets in these conditions. One minor economic blip and rate cuts go negative which you know will be an economic disaster for all economies.
Yes, we are better off without these PRIVATE central banks. Gold standard and done. Get rid of these wrong players. I know what I'm talking about !
If and when we dip into the negative rate territory, I wonder if the Dollar will lose its fiat status. But then again, which other currency can replace the dollar? None.