Might expect something soon..
The number of rate increases in the past 3 years prior to the few recent cuts still provides more than enough room to help stem the tide with a rate cut now (and this would certainly qualify as a good time).
Perhaps Larry Kudlow was right - he would know. But I prefer to give the Fed credit for being outside of politics (if that is possible).
I wonder if some of you market professionals might comment on your opinion as to the likilhood of a rate cut, and the rationale for or against it. How do the otherwise excellent fundamentals of the market and our economy play in to the decision, and how much, if any, do pilitics play in to it?
Cutting rates now looks like a panic move, which will only make things worse. Probably best to wait for this thing tho stabilize/normalize then stimulate a recovery.
well. Manufacturers in China will now ponder the impact of continuing to doing business in China. This is going to hit many US companies much harder than any tariffs. And it happens almost every year. What bothers me is nearly 95% of our antibiotics are produced in China. That’s indefensible. That has to come back to the US.
BREAKING: Fed Chair Powell releases statement saying #Fed will "act as appropriate" to support the US economy
"The Fed is closely monitoring developments and their implications for the economic outlook. We will use our tools and act as appropriate to support the economy."
Whether they will stem the decline before markets drop another 15% or more is an open question.
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The Fed's mandate is not to prop up securities markets.
The Fed's mandate is based on inflation and labor markets. We are still at record employment, and inflation is still low.
That said, I believe Powell will lower rates to try to encourage stock buybacks to prop up the market. The tale is wagging the dog anymore.
Can you give us examples of when the Fed has acted after a four-day market drop, much less while there was still less than 4% unemployment?
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Or if the virus worsens in other countries
So they some ammo when we need it for jobs and such.
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