Look, the feds tools, like cutting rates, helps when demand is drying up and you want to inject some fuel into that fire. It doesn’t help when supply dries up. What good is it if mortgage rates are 2% if you get furloughed from your factory job and can’t pay the bills? Is a lower rate going to let your store sell supplies that it can’t get in stock?
This could make the markets happy for a few days and it might help some businesses Zombie on but it won’t help the public when they get fired. It won’t help you pay your bills when you have no income.
When shit really hits the fan and the world central banks have collectively blown their loads too early, the rest of us get assraped.
Call me a 🌈 🐻, I don’t care. I just want you all to be careful and aware of how economics actually works.
Edit: well so far this is working out exactly as expected. Now that the US has blown its first monetary load, this shit is going to swirl the toilets unless buybacks save us all. RIP Robinhood users....
https://preview.redd.it/oa2b3c6gd4j21.png?width=236&format=png&auto=webp&s=615a887494c860370ef5df9571811315838cd647
