- 4 Sep 2015
- Reaction score
I cannot read it. They want to put cookies on my machine. That won't happen.
Here's a bit:
The Federal Reserve thus far has unleashed what’s frequently been called a bazooka in its efforts to calm markets. Its next step could be to go nuclear.
Should conditions on Wall Street deteriorate significantly, the central bank could go where it’s never gone before, into the equity market where it would take a passive interest in the performance of stocks, according to market analysts and economists.
The Fed already has unloaded an unprecedented level of ammunition against the tumult brought on by the coronavirus, so doing more would take it even further into uncharted waters.
However, interviews with a variety of market pros over the past week showed that the idea of the Fed venturing into the stock market seems anything but far-fetched. The Fed would need congressional permission to extend its operations, but already has received wide latitude from the Treasury Department through emergency provisions in the Federal Reserve Act.