The Federal Reserve, the US central bank is the one that controls the creation of $. Regional branches provide services to corporate banks and the FED is comprised of them. They have created a system that puts taxpayers in debt each time a $ gets created. Their legalized racket is one I admire. It takes advantage citizens who never learn about money creation.

The FED has some pretty smart men.

It was why I didn't surprise to see banks being flooded with fear from the coronavirus. It is possible that the 11 deaths in the US and 10 in Washington state will spiral out of control, which could have a negative impact on the economy. COVID-19 can be fatal in up to 3.5% of cases, which is a lot for an idiot like me.

But, is it a cause for interest rates to be lowered?

Maybe it depends on how much fiat is spent. That would be my argument.

Who is the biggest beneficiary?

Lower rates won't result in innovation and many new jobs being created. This money will go to the banks and be used to buy back stock or increase dividends.

Data Driven Investor

This is how the Fed will react to bad news. Print $

Although my father's generation did not understand money creation, they were still not smart enough to bail out banks. What is the imaginary money we make from paper? To make up for the losses of gamblers, this money must be taken from hardworking and honest people. 2008 was the year I discovered who controls the FED, and how they make money by creating debt.

FED pumps markets because of Coronavirus This story was first published on DataDrivenInvestor on Medium. People are responding to the story by commenting and highlighting it.

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By: Satoshi Knotabolo
Title: FED Pumps Markets Because of Coronavirus?
Sourced From: medium.datadriveninvestor.com/fed-pumps-markets-because-of-corona-virus-a95717509b95?source=rss-3a66ed4955------2
Published Date: Thu, 05 Mar 2020 05:11:54 GMT