‘There is no point’ in the Fed going to negative interest rates - JPMorgan
08.05.2020, 06:39

‘There is no point’ in the Fed going to negative interest rates - JPMorgan

CNBC reports that as markets begin pricing in the possibility of the Federal Reserve bringing interest rates into negative territory, JPMorgan Asset Management's David Kelly argues that such a policy move makes little sense.

"There is no point ... at all in going to negative rates," Kelly, who is chief global strategist at JPMorgan Asset Management, told CNBC.

"Negative rates have not helped the Japanese economy, they haven't helped the European economy," Kelly said, in reference to the well-documented economic challenges in those places despite the adoption of such policies. "All they do is clog up the banking system, make it more difficult for everybody to operate."

Furthermore, that's not needed at a time when the government is "essentially enabling and monetizing unlimited fiscal .. expansion," he said.

"If you want to stimulate the economy directly, just put more money into the hands of consumers and businesses, Congress doesn't seem to have any shyness about doing that," Kelly said, adding that he expected an additional $2 trillion of stimulus "before this is over."

That's on top of the more than $2 trillion already approved. The historic amount of stimulus comes at a time when economies worldwide have been ravaged by extensive restrictions implemented to stem the spread of the coronavirus pandemic.

Coupled with reports of the Federal Reserve stepping in to buy bonds, some of which include those in the high-yield space, Kelly said: "That's tremendous monetary expansion right there, you don't ... need to go to negative rates ... to try and help that along."

© 2000-2025. Sva prava zaštićena.

Sajt je vlasništvo kompanije Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).

Svi podaci koji se nalaze na sajtu ne predstavljaju osnovu za donošenje investicionih odluka, već su informativnog karaktera.

The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.

Politika sprečavanja pranja novca

Upozorenje o rizicima

Izvršenje trgovinskih operacija sa finansijskim instrumentima upotrebom marginalne trgovine pruža velike mogućnosti i omogućava investitorima ostvarivanje visokih prihoda. Međutim, takav vid trgovine povezan je sa potencijalno visokim nivoom rizika od gubitka sredstava. Проведение торговых операций на финанcовых рынках c маржинальными финанcовыми инcтрументами открывает широкие возможноcти, и позволяет инвеcторам, готовым пойти на риcк, получать выcокую прибыль, но при этом неcет в cебе потенциально выcокий уровень риcка получения убытков. Iz tog razloga je pre započinjanja trgovine potrebno odlučiti o izboru odgovarajuće investicione strategije, uzimajući u obzir raspoložive resurse.

Politika poverenja

Upotreba informacija: U slučaju potpunog ili delimičnog preuzimanja i daljeg korišćenja materijala koji se nalazi na sajtu, potrebno je navesti link odgovarajuće stranice na sajtu kompanije TeleTrade-a kao izvora informacija. Upotreba materijala na internetu mora biti praćena hiper linkom do web stranice teletrade.org. Automatski uvoz materijala i informacija sa stranice je zabranjen.

Ako imate bilo kakvih pitanja, obratite nam se pr@teletrade.global.

Банковни
транcфери
Feedback
Lajv čet E-mail
Povratak na vrh
Izaberi lokaciju / jezik