Diane C. Swonk (born April 8, 1962)[1] is an American economic advisor and chief economist at KPMG US.[2] (wikipedia)
Up front there are going to be enormous losses.
What the Fed told us today is, we don't think we are done yet and we are not sure when we will be done.
I think this is clearly the Fed saying 'we're willing to take out an insurance policy, we're not willing to risk recession',
When the economy goes back down again, years down the road, will consumer credit be a major problem, like it was in the 1990-91 recession? ... Yes, it could come back to haunt us. But right now, it's a macroeconomic plus.
We are at a time in the cycle when you don't need to just turn down the flames on the fire, you have a pot that is already boiling. What the Fed is concerned about is that even as you begin to turn down the flames that pot will still boil over.
If they move between meetings it's usually a move to shore up confidence.
If they see more instability in financial markets, they will take it lower.
That doesn't mean that competition is getting any less. It just means that companies have to turn inward to innovate in order to boost profits and customer satisfaction,
The bond market is just overwhelmed by problems abroad,
After the fireworks we've seen coming out of Washington on Friday and Monday, I think the Fed would like to be the least bit of news this week.