1. A Glimmer of Hope: The Fed’s move today to buy up much of the investment grade commercial bonds now gives the Fed the ability to ease debt-service pressure on the over-leveraged firms that make up a vast number of stocks traded on Wall St.
2. If the loan covenants were triggered it might have started an avalanche of massive Bankruptcies almost certain to wipe out all of the involved firms’ stock values. The rule is common class equity shares get zero in a Chapter 11 plan and the stock is cancelled.
3. Used to be able to paper your walls with it. Now it’s just a zero on your brokerage statement.
Banks and other financial institutions including state retirements, and insurance companies are now flush with cash and their balance sheets moved these usually liquid asset out.
Banks and other financial institutions including state retirements, and insurance companies are now flush with cash and their balance sheets moved these usually liquid asset out.
4. It’s one big baby-step on the road to economic recovery.
We and especially @POTUS Trump @whitehouse must accept that Donald knows nothing about what to do. He should stick to photo-ops and let the experts try to save the economy.
We and especially @POTUS Trump @whitehouse must accept that Donald knows nothing about what to do. He should stick to photo-ops and let the experts try to save the economy.
5. So far every move Trump’s made was either late or poorly executed. What about working on the golf handicap Donald? Show everyone you’re not worried? Get some exercise & fresh air. We’ll call you when it’s over so you can take all the credit. 😎@MarkMeadows @KellyannePolls
