Minerd Says He’s Never Seen Markets So ‘All-In’ on the Fed

Pinterest LinkedIn Tumblr

The lack of reaction is pretty telling the fed has been buying treasuries and other assets to ensure smooth market functioning but with all this intervention has it led to some level of market dysfunction do markets still provide any signaling capability when the fed is all in well you know scarlet that’s a great question because i think the way you’re saying it is spot on uh the definition of the market is the federal reserve they have made it clear that where interest rates are going to be they’ve made it clear that they want to drive credit spreads tighter uh and they’ve made it clear that their reaction function is in response to the progress of the virus and its impact on the economy i i’ve never seen a time in my career nor can i think of a time in history where it’s all been for the fed and it really honestly to a large degree uh doesn’t matter what else is going on in the world it’s uh really what the fed does in response to uh any announcements that come out whether it’s related to the virus or it’s related to pending legislation in congress

Write A Comment