The Fed screams fire in the theater

A zero percent mortgage rate is not going to get people to board cruise ships, hop on an airplane to see folks back home, watch the latest movie release at the Irvine Spectrum Theaters, or go out and spend money. We're a consumer based economy and low rates isn't enough to get people to spend their time and money. Look at auto sales - Zero Percent Rate financing has been around since 9/12/2001 so will any amount of rate cuts help sell vehicles?

As noted in the other thread about COVID-19, this is a reaction to deflation caused by a virus I can see why they did it. I just can't see any benefit. Can you?
 
According to TI posts, more people are willing to refinance. Lower rates actually attract more people to buy and refinance, no? Hence more business for the banks, I would assume?
 
In general, when overall mental states conditions are good, pockets are full of cash, people willing to buy and spend.

Even when you can have a boat load of cash but unsure about the future prospects enough will make you hold out. Then you have a panic and mass exodus that create such a deep vacuum in a short period such as last week and continuing is an indications of traders and investors mind frame of insecurity

The cut not going to stop the panics. They are shouting out a message of CLEAR AND PRESENTS DANGER in the current economy with this disruption derive from global pandemics.

Pharma is a good bet because you got the White House jumping on CEO to bring a cure ASAP.

 
Seems like everyone is expecting some kind of slowdown finally.

Hey, eyephone, I think people are finally following your prediction.
 
The Fed will cut rates again at the Fed meeting in 2 weeks, either by 0.25% or 0.50%. I know we are going back to a zero Fed Funds Rate but the question is will the Fed do QE this year.
 
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