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Caroline Baum: Why the Fed can’t defend the economy against the coronavirus outbreak


Rate cuts are effective against weak demand — not shocks to global supply. Financial markets have stepped up their expectations for interest rate cuts in recent days as fears of a global pandemic finally rocked the heretofore ebullient U.S. stock market. Federal funds futures are putting the odds of at least one 25-basis-point rate cut by June

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Posted: February 26, 2020 Wednesday 12:15 PM