Three months into the global coronavirus pandemic, there are growing signs that the long marriage between China and the US—indeed between China and the developed world—is coming apart. That’s prompted “a rethink of how much any country wants to be reliant on any other country,”
Read moreThe Fed's Unprecedented Bailout of Everyone and Everything Could Prevent Total Collapse
The Fed understood even before Congress that the health-crisis of the pandemic and the subsequent economic crisis caused by the shelter-in-place orders and shuttering of businesses, travel and events would easily morph into a financial crisis that could be magnitudes greater than what happened in 2008-2009.
Read moreThis Market Chaos Is Unlike Anything We’ve Seen Before. But Remember to Breathe
For weeks, I watched the evolving coronavirus crisis the way one observes an avalanche: it looks distant until suddenly it is upon you. I was inclined to take advantage and “buy the dips.” Then, something snapped: I started selling. I wanted cash. I panicked.
There. I said it.
Read moreThe Coronavirus May Actually Reinforce US-China Economic Ties
In these self-isolated days, silver linings are almost entirely obscured by clouds. Yet should the worst-case predictions of mass deaths and overwhelmed health care systems not come to pass, there’s a case to be made that the way the virus is spreading… China’s industrial production fell for the first time on record
Read moreThe Coronavirus Will End Conservative Dogma About Big Government Forever
The sheer urgency of the new coronavirus and its damage are overpowering free markets, shuttering businesses and triggering responses that only four weeks ago looked impractical, naive and socialist. Now, they are essential.
Read moreTrump Is Actually the President We Need Right Now
This past week, however, one thing became clear: Donald Trump may be exactly the president we need now.
Read moreThe Coronavirus Won’t Be an Economic Catastrophe — Unless We Let it Become One
It would be nice to be able to say when this will settle down, but as the old market cliché goes, no one rings a bell when markets hit a bottom.
Read moreA Stock Market Crash Was Coming, Coronavirus Was Just the Spark
It was the worst week for stocks since the financial crisis in October of 2008. It may get worse still.
Read moreEasy Money Is Back
Since the financial meltdown, it's become conventional wisdom that prior to the crisis, the world was awash in too much easy money—and that now it doesn't have enough. It's a tidy thesis, widely accepted. It's also wrong. What's remarkable about our post-crisis reality isn't that we're not capital-starved; on the contrary, we're still swimming in excess liquidity. During those months of panic, all that cash didn't evaporate. A lot of it just got stashed on the sidelines. Now the global pool is growing again, and the next market bubbles are already popping up.
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