03-02-2020, 08:59 PM
(03-02-2020, 01:23 PM)fenders53 Wrote: I think the market may be anticipating a rate cut, because that will cure a virus for sure.
I read a news that said something along the lines of "95% of analysts are expecting a 50 points rate cut in March".
It will cure the virus for sure, also free money will definitely help companies to invest more when no one is buying, the workers aren't coming to work etc.
The central banks, definitely not only FED but they are the main culprit in my eyes, are just way too focused on keeping the markets going uphill. It's not even one of their jobs but a lot of their effort in the past recent years have been directly related to keeping the bull market going. Anytime there is the slightest -5% drop, everyone is calling the FED to step in and lower rates. And unbelievably, most of the time they have done that.