According to the latest COT report, investors have flipped to net short in the US Dollar for the first time since June 2018.
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Fed removes QE limits, launches new program to support businesses
<p>Fed announced a new round of aggressive measures to support the US economy against coronavirus pandemic impacts. In particular, Fed will purchase bonds to keep borrowing costs low without specifying a limit. There will also be programs to ensure credit flows into businesses and governments. Fed said it will buy treasuries and agency mortga
Bundesbank: Slide into a pronounced recession could not be prevented
<p>Bundesbank said in its monthly report that the country is “facing previously unknown challenges as a result of the rapidly spreading coronavirus pandemic”. On the economy’s side, the “slide into a pronounced recession could not be prevented”. And, “economy recovery would only start when than pandemic ris
Sentiments Take a U-Turn as Fed Goes QE Unlimited
<p>Market sentiments take a u-turn today after Fed surprised the markets with another emergency announce. Now, the targets for asset purchases are removed and Fed is going into QE unlimited. US futures turned from limit down to positive while major European indices pared back much of earlier losses. The reaction in the forex markets is [&hell
Fed says firms using credit facility have limits on dividends and buybacks
Interesting headline Corporations who defer interest payments in new lending program will not be allowed to buyback shares or pay dividends. The Fed isn't supposed to be able to take credit risk but they're working with the Treasury so the government takes the losses if/when they come.
Israel launches quantitative easing program
Bank of Israel joins the party New Zealand launched QE earlier today. Neither central bank will be the last. It's getting tough to keep up with the scale of monetization. And as we learned in the last financial crisis, once a bank starts QE, it's tough to get away from it.
The Fed has just taken all risk out of banking and lending
This move is unprecedented The Fed is buying everything. Today's announcement is unprecedented in both size and scope. It is a complete perversion of market functioning and a nuclear bomb more than a bozooka.
Full text: Federal Reserve announces extensive new measures to support the economy
Full text of the Federal Reserve announcement . The Federal Reserve is committed to using its full range of tools to support households, businesses, and the U.S. economy overall in this challenging time. The coronavirus pandemic is causing tremendous hardship across the United States and around the world. Our nation's first priority is to care
Fed establishes TALF, to do open-ended Treasuries and MBS purchases in the amounts needed
Fed launches more measures to support the economy and transmission of monetary policy For starters, the Fed will purchase $75 billion of Treasuries and $50 billion of agency MBS each day this week. The Fed is practically going to reach the point where they will be buying everything in the market at this stage. The […]
Bundesbank: Pronounced German recession is unavoidable
Bundesbank comments in their latest monthly report – Sliding into a pronounced recession cannot be prevented – An economic recovery will only start when the pandemic risk is effectively contained ForexLive