Powell says the Fed doesn't want to 'run through the bond market like an elephant'

"It's out of an excess of caution to preserve these gains for market function by following through," Powell said Tuesday during his semiannual testimony before Congress. "I don't see us wanting to run through the bond market like an elephant snuffing out price signals, things like that."

Powell said the return to risk from investors came "because they believe we'll do what we say we're going to do." With corporate bonds, he said the pace of purchases will depend on how the market responds. Bond yields for company debt are near record lows and spreads compared to government debt have contracted to where they were before the coronavirus crisis.

Socialism ?

This was an extremelely vague & incompetent answer by Powell

Said THE elephant to the mice........

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Stock market live updates: Dow up 700, retail sales roar back, waiting for PowellStocks surge at the open this morning, with the Dow jumping more than 800 points. Follow along with the latest stock market updates here: I just need fucking affordable healthcare and this is where all the money goes? WtF Could it be that with interest so abysmally low, there is no place else to park our $$s?
Source: CNBC - 🏆 12. / 72 Read more »