...the encouraging part - a bit of a stretch - is that markets may finally have recognized that a real economy with real production is different than the house of paper that the Fed has been creating the past few decades...
...taking massive inflationary and demand-driven measures in a supply shock is not only a mistake, it is the recipe for stagflation and guarantees a multi-year negative impact...
"Over the last few days social distancing measures have shut down normal life in much of the US. News reports point to a sudden surge in layoffs and a collapse in spending, both of which appear to be historic in size and speed. We are therefore making further large downward revisions to our economic forecast...."
"I cannot support a move to lean on the federal government for a stimulus or bailout that prioritizes our company over others and relies on taxpayers to guarantee our financial position,”
Nothing on this scale has hit the US economy in the post-war period. This disruption goes far beyond work and finance because it also encompasses people’s mobility, health care, education, all forms of recreation, and confidence in our government.
Several oil executives have reached out to members of the Texas Railroad Commission, which regulates the industry, requesting relief following an oil-price crash.
“Given the extraordinary challenges raised by the coronavirus - Netflix has decided to begin reducing bit rates across all our streams in Europe for 30 days,”
Both Merkel and her finance minister, Olaf Scholz, have warned that if Berlin dithers, the economic fallout for Europe could be almost unimaginably brutal.
"Not only are we looking at a very sharp recession...we may have a depression...it's very important to understand what happens when economic and financial deleveraging come together..."
"For China this quarter and the rest of the world next quarter, these GDP declines represent the biggest quarterly contractions recorded over the past 50 years at least."
