Thanks for posting~ very interesting question. 2nd scenario is probably FED's beautiful wish but can't happen because profit is not there for the mass public. 1st scenario is too pessimistic because we are more prepared now. To me it's more like the market will consolidate and make everyone lose their patience till the election is over, COVID is over and everything is over unless another black swan comes and hits the market. But a vaccine is coming in Sep or Oct, no? This is a play, all actors are reading their own lines now.
RichR333
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@piscitear, great points. One upcoming black swan will be the lingering unemployed, causing a domino effect. Many banks are and have been preparing for such occurrences "stress testing". They know whats coming.
One-World
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@RichR333, when facing lingering unemployment, I only hope that we carry out some other ways to help instead of printing more cash, the market has sufficient cash, more cash will only make the dollar cheaper.
RichR333
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@piscitear, hope so too, but remember the fed has to act fast as possible to prevent further damage. They're not the most efficient with designing sound protocols. There go to has been print for decades, unless they raise taxes.