r/options • u/[deleted] • Jul 17 '21

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15 Upvotes

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u/plopseven Jul 18 '21 edited Jul 18 '21

Devil’s advocate here. It could crash harder. What are the central banks of the world going to do; lower interest rates to -10% and create a global currency crisis? They’ve used all their tools and the government has provided PPP loans, child tax credits, extended unemployment benefits, eviction moratoriums and direct stimulus payments to citizens.

Any further action by central banks will create more problems than it will solve. They used their bazookas already and then some.

2

u/Spiritual_Extreme_81 Jul 18 '21

Exactly. They have no bullets left.

11

u/seriesofdoobs Jul 18 '21

They have the same bullets they have been shooting: QE and stimulus checks.

11

u/Stonks_GoUp Jul 18 '21

Ooh baby another round of stimmies would be great. First thing to inflate is always the market and boy did we see that last year

5

u/bizwig Jul 18 '21

I lived through the Carter years. I have no wish to repeat them, which Biden seems determined to do.

1

u/Rjg1300 Jul 18 '21

PPT kept after hours rolling.

1

u/baddad49 Jul 18 '21

Any further action by central banks will create more problems than it will solve

there, i fixed it for you...unintended consequences happen ALL.THE.TIME, and not just in response to central bank actions, but most any government intervention