This is of course a direct criticism of the multi-trillion dollar monstrosity known as the CARES Act. The bill that was passed by Congress with bipartisan and Presidential support in response to COVID-19. Well, just like any title of a bill – it’s usually the exact opposite that transpires – so in this case, it’s the Nobody CARES Act.
Today via a virtual Senate hearing, Treasury Secretary Mnuchin, and Fed Chairman, Jay Powell, gave their testimony as to the progress of the CARES Act. During today’s podcast, we highlight a few of the key points. These pertain to: not all of the money that has been appropriated has been spent, the Fed will utilize leverage if and when they put this money to use, the base case of the US Treasury is that on a net-net basis, there will be losses, questions asking if there will be conditions to receiving any funds, especially by large corporations, such as guaranteeing that employees are kept on payroll and/or brought back from being laid-off, the money supply, limitations to the Fed’s balance sheet, discussion of Treasury issuing 50 and/or 100 year bonds, and asking how the Fed’s purchases of junk bonds, is a help to the people…all this and more as we dissect this new banana republic. Stay diversified, stay vigilant, and stay with The Kapital News. #Economy #Recession #Bailouts #Jobs #USA #Depression #Gold #Protests #EndTheFed