If the Fed had done nothing at all, it's conceivable that the markets would still be in exactly the same shape they are now (or even possibly better), except we

If the Fed had done nothing at all, it's conceivable that the markets would still be in exactly the same shape they are now (or even possibly better), except we'd still have those tools at our disposal. To an extent, that the Fed took such drastic action probably helped to spook investors even more, since (1) now those tools are gone, (2) it implied that the Fed is panicked and doesn't know what to do, (3) it implied that the Fed thinks the market will sink dramatically. As to what I think they should do: address the needs of the people who will be hardest hit. Interest-free moratorium on mortgages, rents, debts, and/or full FMLA. This will actually help with the underlying virus problem more quickly, and consequently should help fix the underlying market problem (lack of demand) more quickly.