Where is market price discovery if the Fed is going to backstop everything whenever it looks like investors might lose money? How exactly is this free-market capitalism?
In case stocks needed another reason to soar higher, Boeing delivered moments ago when the company reported that customers cancelled a record number of orders for the 737 Max lead balloon last month
Coronavirus has unleashed a wave of apocalyptic pessimism on Wall Street... so it's not a surprise that since the start of the month the S&P is up 16%.
"Given the likelihood of a fairly severe recession, it was necessary to build credit reserves of $6.8B, resulting in total credit costs of $8.3B for the quarter."
“Sentiment will zigzag until there is more clarity on formal measures to reopen major economies. More broadly, even though global markets have rebounded, it is difficult to say with any certainty whether the bottom has been reached.”
Ash Bennington hosts Real Vision’s Managing Editor Ed Harrison to discuss the day’s events. In this episode, the pair unpack new GDP growth forecasts, the latest economic warning from the IMF, and the first round of Q1 2020 bank earnings.
"The nature of this recession--the unprecedented suddenness and trajectory of the contraction centered on a health crisis--has provided absolute cover for policy makers to go well beyond traditional support."
"the largest shock to the global economy in 90 years has left equities only 18% below the record highs of mid-February and roughly in line with the market price in June 2019, just 10 months ago."
