Federal Reserve cuts rates to zero and launches massive $700 billion QE

[shtferbrains]

Maybe not about stocks anymore.

Banks

[Austrian Economics]

Massively negative interest rates will be necessary to arrest the fall in equities. Negative rates are already here in U.S. markets are you move a bit further out the yield curve.

[errolanderson]

Massively negative interest rates will be necessary to arrest the fall in equities. Negative rates are already here in U.S. markets are you move a bit further out the yield curve.

The entire corporate debt bubble will implode . . . the Covid-19 virus is the fuse, the debt is the implosion. No sign of a bottom . . . .

[jazz]

Massively negative interest rates will be necessary to arrest the fall in equities. Negative rates are already here in U.S. markets are you move a bit further out the yield curve.

I still don't understand the concept of negative rates in the real world.

That means the bank pays you to lend money to them?

[biglentil]

I still don't understand the concept of negative rates in the real world.

That means the bank pays you to lend money to them?

No they pay you to borrow and you pay them on your savings. They may be forced to ban cash in such a scenario as they cant collect interest fees on it. Perfect time to ban cash as it's for your own safety blah blah blah. Misclick I dont like my own post.

[jazz]

No they pay you to borrow and you pay them on your savings. They may be forced to ban cash in such a scenario as they cant collect interest fees on it. Perfect time to ban cash as it's for your own safety blah blah blah. Misclick I dont like my own post.

Well that will certainly send asset values to the moon with a huge increase in debt with it.

[Sheepwheat]

No they pay you to borrow and you pay them on your savings. They may be forced to ban cash in such a scenario as they cant collect interest fees on it. Perfect time to ban cash as it's for your own safety blah blah blah. Misclick I dont like my own post.

Ppl aren’t going to like this, but here goes.

“And he forced everyone, small and great, rich and poor, slave and free, to receive a mark on his right hand, so that no one could buy or sell without the mark....”

Is it time for our implants yet? Never before has the world had the capacity to enable this to take place. Kind of freaky, no?

[sawfly1]

Big lentil.
The loans I have are all prepayable.
The best strategy would be then
Pay them all or most off with cash.
Then borrow , if I needed cash.
If they are going to tax savings.
I have been doing that anyway
To a certain extent. Because savings
Pay nothing

[GDR]

Well that will certainly send asset values to the moon with a huge increase in debt with it.

Even beside the fact of possible negative rates. I think that tangible assets will be the only good investment going forward, barring some sort of confiscation. Inflation will be created from shortages, governments will encourage inflation as a way to overcome their debt burden. Cash shares and bonds are all just paper. Grain and stock might just be the best.

[farming101]

Big lentil.
The loans I have are all prepayable.
The best strategy would be then
Pay them all or most off with cash.
Then borrow , if I needed cash.
If they are going to tax savings.
I have been doing that anyway
To a certain extent. Because savings
Pay nothing

Fine and dandy till you start printing a new cash flow statement every day

[jazz]

Savings sitting there waiting to be taxed would just mean that gets spent into the economy or invested. has to be an arbitrage play. They pay you .5% to borrow and hope to get 2% or higher GDP growth in the economy. Bank makes profits on fees and services.

[jazz]

Another $500B thrown in this am.
Why not just make it a bazillion cajillion like Dr. Evil.

[ajl]

Ppl aren’t going to like this, but here goes.

“And he forced everyone, small and great, rich and poor, slave and free, to receive a mark on his right hand, so that no one could buy or sell without the mark....”

Is it time for our implants yet? Never before has the world had the capacity to enable this to take place. Kind of freaky, no?

There is no doubt that this day just got a lot closer.

[Austrian Economics]

Here's a commentary from website on monetary matters that I routinely visit. The segment titled The Interest Rate and Stock Market Crash offers a very good summary of why financial markets are behaving the way they are:

https://monetary-metals.com/is-now-a-good-time-to-buy-gold-market-report-16-march/ https://monetary-metals.com/is-now-a-good-time-to-buy-gold-market-report-16-march/