NEW:
G7 finance minister and central bankers issue statement after call “closely monitoring spread of coronavirus and impact on markets and economic conditions”
“Reaffirm commitment to use all appropriate policy tools.. including fiscal measures.” home.treasury.gov/news/press-rel…
G7 finance minister and central bankers issue statement after call “closely monitoring spread of coronavirus and impact on markets and economic conditions”
“Reaffirm commitment to use all appropriate policy tools.. including fiscal measures.” home.treasury.gov/news/press-rel…
“G7 central banks will continue to fulfill their mandates, thus supporting price stability and economic growth while maintaining the resilience of the financial system,” which doesnt sound like for example concerted rate cuts... 
Would have loved to have heard G7 call. Presumably Mnuchin backing Trump’s call for Fed to cut... perhaps wanted some G7 cover for that..maybe Italians want ECB too as well. Does pressure from White House make it more difficult for others to acquiesce?
Trump gets his way...
Emergency @federalreserve rate cut by 0.5% on coronavirus economic “evolving risks”
Emergency @federalreserve rate cut by 0.5% on coronavirus economic “evolving risks”
Big deal this - largest cut since financial crisis....
But also comes after incessant pressure from White House for the Fed to cut. Not clear that monetary policy is the right tool here, but fair to say that US has more space than others to cut rates.
But also comes after incessant pressure from White House for the Fed to cut. Not clear that monetary policy is the right tool here, but fair to say that US has more space than others to cut rates.
Now if only monetary policy could somehow be used to incentivise extreme hand washing in some way... #quantitativecleaning
And within the hour, victory tweet continues the pressure..
