TLT - 2 Decades Of Monetary Largesse Are The Harm Not The Cure
The US Fed has led the world in 20 years of progressively more extreme monetary interventions to inflate debt and asset prices at all costs. Each time that US stock markets have dropped more than 10%, central banks have moved to 'ease' volatility with more and longer monetary 'accommodation.' Nevertheless, in both 2001 and 2007, despite slashing some 5% off benchmark interest rates, recessions arrived, and stock and corporate bond prices fell by half.
It took a drop of just 14% in the S&P 500 in 2018 for the US Fed to switch from telegraphing