A Tale of Two Markets

FINANCIAL markets are getting a New Year’s gift from The Federal Reserve. In its last meeting of the year, on Wednesday, December 16, the Fed chair sent out a very clear signal: injections of dollar liquidity will not be stopped in the near future. The Fed’s bond purchasing programs will continue, even once the economy is no longer in critical status due to the pandemic.

To the market, this is relieving news. Before this signal came

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