The coronavirus and low oil prices have presented a dilemma Fed Chairman Jerome Powell cannot fix by simply printing money. You cannot current the virus by providing liquidity to the market, buying bond ETFs, cutting rates to zero, or quantitative easing (“QE”) until infinity. Now that the S&P 500 and the Dow Jones are faltering, President Trump needs a new act. Now the president is lobbying congress for a $2 trillion infrastructure package:
With interest rates for the United States being at ZERO, this is the time to do our decades long awaited Infrastructure Bill. It should be VERY BIG & BOLD, Two Trillion Dollars, and be focused solely on jobs and rebuilding the once great infrastructure of our Country! Phase 4
— Donald J. Trump (@realDonaldTrump) March 31, 2020
With interest rates for the United States being at zero, this is the time to do out decades long awaited infrastructure bill. It should be very big and bold, two trillion dollars, and focused solely on jobs and rebuilding the once great infrastructure of our country.
“Somebody has a vision out there of what we are going to look like on the other side and when we look back in five years, we are going to realize that there are five or ten or 25 amazing companies that were started that just changed the world and lead us through all of this to a brighter future.”
Cuban echoed President Trump’s sentiment that America must wean itself off economic reliance on China, noting that pharmaceutical companies manufacture many of their drugs overseas.