In a new series on the “economic cures” for the coronavirus, the Financial Times is offering insights from leading commentators and policymakers on “how to alleviate a devastating global slowdown”. This article, co-authored by Ben Bernanke and Janet Yellen, discusses the role the Fed must play to reduce long-term damage. Here are highlights: The Fed’s recent actions of lowering interest rates (to nearly zero) and preparing to purchase $700 billion in Treasury debt and mortgage-backed… Read More
James Grant of Grant’s Interest Rate Observer recently weighed in on Federal Monetary Policy in a Bloomberg Report video. Grant believes the Fed “conceives its principal work to be suppressing or distorting the free play of interest rates or prices.” Asked what the Fed should do or not do to make the prices rule, Grant said the Fed has missed its mark, explaining that it had six or seven years to orchestrate a return to… Read More
While pundits have been throwing around the term “bubble” throughout the stock market’s climb over the past few years, Barry Ritholtz doesn’t sound concerned that we’re in one.