Some years ago we used the phrase ‘financial reset’ that never occurred, I always favoured the term ‘financial balancing’.
After a great deal of secret and semi secret meetings it’s beginning to look as some sort of agreement has been reached.
President Trump who clearly is in the know has been asking the Fed to cut rates, which until recently they did not do.
The bond market is one of the best indicators of world financial conditions.
It is under enormous stress – not since 2008 have we seen such pressure.
Finally the Fed forced out of its inaction has put $75 billion into the “repo” bond market amid near panic in the top echelons of the Fed Reserve.
President Trump has been calling for a Fed stimulus package.
Looks like he will get it as a one quarter of one percentage point cut was ridiculous.