Sometimes, the markets magnify everything. Some of the street smart folks can be heard saying that the
someone or other wants to induce a recession. Why? Or, why not?
Of course, I am joking.
The greatest dreams of all humankind are ensconced in knowing that the farmers will have a a rich harvest,
the boss will pay the salary, the educational authority will give a grant or a bursary, the government will
create some stipendiary jobs....Dad will buy some coffee cakes...and so on.
The significant downside risks I think could be if the farmers stop planting their seeds, because they don't have seeds and it doesn't rain; the boss starts to do all the work himself so he doesn't have to pay employees...etc.etc.
Provided there are trade agreements, and Bankers keep to their job of lending responsibily, and Governments
provide capital to banks to lend onwards, for houses, businesses, buying seeds, giving grants to local authorities,
etc. etc., everything will be well.
My reading of the Fed's statements yesterday is that Recovery will continue at a modest pace. Under current
restraints, I think that is good enough.