Federal Reserve Launches QE Infinity buying Treasuries, MBS and Commercial Paper



Fiscal policy plays the main role during pandemic
central bank is limited in what we can do and should do and fiscal policy is playing the main role
Fed is focusing on where the economy is not functioning well to restore liquidity and make sure credit is flowing
key for success is making sure the businesses and families are able to bridge through this period and try to get back to normal
inflation likely to be lower than we want, not higher
Fed ready to use all of its tools to achieve goals
uncertainty is up demand for dollars, treasuries
it may be a few months or quarters before people are willing to go back to public events such as Broadway shows or concerts