Deutsche Bank chief executive Christian Sewing said on Tuesday that markets were too optimistic in their assessment of a recovery from the coronavirus crisis.
“…bringing out the bazooka…”
JPMorgan CEO Jamie Dimon told the Deutsche Bank Global Financial Services Conference attendees (virtually) that he sees a “good chance” of a fairly rapid economic recovery and is hoping things pick up in 3Q after what will be weak GDP this quarter.
“I give it some pretty good odds,” Dimon said. “The government has been very responsive, the Federal Reserve has been very responsive. Large companies have a huge wherewithal, hopefully we’ll keep the small ones alive long enough that most of them get back into business.”
While the all-seeing CEO warned that JPMorgan is “prepared for a scenario where recovery is slower,” Dimon implicitly pointed out that for now there’s nothing to fear but fear itself because “The Fed’s liquidity, bringing out the bazooka, is propping up stock prices (as well as all other asset classes).”
Canada’s economy will continue to require significant amounts of stimulus in the rebuilding phase, even with the potential for higher debt levels to fuel financial vulnerabilities, according to the outgoing head of the country’s central bank.Bank of Canada Governor Stephen Poloz,…
The Federal Reserve has already unleashed a barrage of new policies to keep the economy out of depression. Investors reckon it’s lining up another one. The Fed’s version of the strategy known as yield-curve control is expected to involve capping yields on government bonds of a chosen maturity…