Welcome to DU!
The truly grassroots left-of-center political community where regular people, not algorithms, drive the discussions and set the standards.
Join the community:
Create a free account
Support DU (and get rid of ads!):
Become a Star Member
Latest Breaking News
General Discussion
The DU Lounge
All Forums
Issue Forums
Culture Forums
Alliance Forums
Region Forums
Support Forums
Help & Search
General Discussion
Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsFed warns stock market of a second recession if the coronavirus pandemic isn't brought under control
Before this latest spike in cases, some Fed officials saw a substantial likelihood of additional wavesThe Federal Reserve is a lot more worried about the economy than the stock market or the president are. Officials and staff economists at the Fed caution that a second wave of recession could sweep over the country later this year if the coronavirus pandemic isnt brought under control, according to a lengthy summary of the Feds policy meeting held on June 9-10.
The consensus forecast of Fed policy makers calls for a gradual recovery in the economy over the next several years, but the minutes of that June meeting released on Wednesday indicate that a more pessimistic projection was judged as no less plausible than the baseline forecast, by the staff economists who work up the most detailed (but classified) forecast of the economy.
Its all going to depend on the health of the American people. The meeting took place before the latest surge of infections that have derailed or delayed plans to further open up businesses in several states.
The stock market, however, has broadly shrugged off those infections. The S&P 500 index SPX, +0.50% rose 0.5% on Wednesday after surging 20% in the second quarter, which ended Tuesday.
The minutes indicate that a surge like the one thats now taken hold in many states was a major downside risk that was discussed behind the closed doors of the Fed in early June.
https://www.marketwatch.com/story/fed-warns-stock-market-of-a-second-recession-if-the-coronavirus-pandemic-isnt-brought-under-control-2020-07-01
InfoView thread info, including edit history
TrashPut this thread in your Trash Can (My DU » Trash Can)
BookmarkAdd this thread to your Bookmarks (My DU » Bookmarks)
7 replies, 681 views
ShareGet links to this post and/or share on social media
AlertAlert this post for a rule violation
PowersThere are no powers you can use on this post
EditCannot edit other people's posts
ReplyReply to this post
EditCannot edit other people's posts
Rec (3)
ReplyReply to this post
7 replies
= new reply since forum marked as read
Highlight:
NoneDon't highlight anything
5 newestHighlight 5 most recent replies
Fed warns stock market of a second recession if the coronavirus pandemic isn't brought under control (Original Post)
Zorro
Jul 2020
OP
ck4829
(35,096 posts)1. Oh, a recession inside a recession... inrecession
nilram
(2,894 posts)4. Sounds better than the D-word
Awsi Dooger
(14,565 posts)2. Somehow we've reached an excellent unlikely combination
Trump approval falling simultaneous to stock market maintaining. I wouldn't have believed that possible at the beginning of the year.
I'm fully accepting of a market drop that will be another dagger to Trump
sfstaxprep
(9,998 posts)3. Bad News Like This Will Only Cause Market To Go Up
I predict a rally because of this.
empedocles
(15,751 posts)5. The market 'up bounces' seem pretty fragile and limited. Time will tell.
uponit7771
(90,371 posts)7. +1, DOW futures up 200 ... lofl, they're not even trying to hide
uponit7771
(90,371 posts)6. DOW going up on more vaccine lies, anyone taking a quick made vaccine for a CV19 is brain dead