3 ms·

False, most of the stimulus went to 1) direct payments to the bottom 90% and 2) small businesses with less than 50 employees.

Supermancho 6y ago
That was a later program. You're misunderstanding because he used the word "stimulus". There were multiple rounds. The first, was a huge corporate giveaway.
- mrep 6y ago
  The first one was .4% the size of the cares act and it was for healthcare, not corporate giveaways: More than $3 billion for "research and development of vaccines, as well as therapeutics and diagnostics" $2.2 billion "in public health funding to aid in prevention, preparedness and response efforts — including $950 million to support state and local agencies" Almost $1 billion for "medical supplies, health-care preparedness, Community Health Centers and medical surge capacity" $1.25 billion to fight COVID-19 internationally. source: https://en.wikipedia.org/wiki/Coronavirus_Preparedness_and_Response_Supplemental_Appropriations_Act,_2020 https://en.wikipedia.org/wiki/Coronavirus_Preparedness_and_R...
  - Supermancho 6y ago
    You are correct. The original commenter was incorrect in the assertion of the order of the bills "passing" - "it didn't even take a week before the government passed the largest stimulus ever". I'm referencing the CARE Act. https://en.wikipedia.org/wiki/Coronavirus_Aid,_Relief,_and_Economic_Security_Act https://en.wikipedia.org/wiki/Coronavirus_Aid,_Relief,_and_E... Granted the one you reference was passed prior, the CARE Act was introduced first. The CARE Act was never in danger of being dropped, as the market was counting on it (it is filled with pork).
sabujp 6y ago
https://www.federalreserve.gov/newsevents/pressreleases/monetary20200323b.htm https://www.federalreserve.gov/newsevents/pressreleases/mone... , the fed is buying junk corporate bonds
- mrep 6y ago
  They announced their intention but I don't believe they have actually bought any yet [0, 1]. Also, their balance sheet shows they are buying predominately U.S. Treasury securities and Mortgage-backed securities [2]. [0]: https://www.cnn.com/2020/05/04/investing/fed-junk-bonds-etfs-debt/index.html https://www.cnn.com/2020/05/04/investing/fed-junk-bonds-etfs... [1]: https://twitter.com/TruthGundlach/status/1256352949787176960 https://twitter.com/TruthGundlach/status/1256352949787176960 [2]: https://www.federalreserve.gov/releases/h41/current/ https://www.federalreserve.gov/releases/h41/current/

Supermancho 6y ago

That was a later program. You're misunderstanding because he used the word "stimulus". There were multiple rounds. The first, was a huge corporate giveaway.

mrep 6y ago
The first one was .4% the size of the cares act and it was for healthcare, not corporate giveaways: More than $3 billion for "research and development of vaccines, as well as therapeutics and diagnostics" $2.2 billion "in public health funding to aid in prevention, preparedness and response efforts — including $950 million to support state and local agencies" Almost $1 billion for "medical supplies, health-care preparedness, Community Health Centers and medical surge capacity" $1.25 billion to fight COVID-19 internationally. source: https://en.wikipedia.org/wiki/Coronavirus_Preparedness_and_Response_Supplemental_Appropriations_Act,_2020 https://en.wikipedia.org/wiki/Coronavirus_Preparedness_and_R...
- Supermancho 6y ago
  You are correct. The original commenter was incorrect in the assertion of the order of the bills "passing" - "it didn't even take a week before the government passed the largest stimulus ever". I'm referencing the CARE Act. https://en.wikipedia.org/wiki/Coronavirus_Aid,_Relief,_and_Economic_Security_Act https://en.wikipedia.org/wiki/Coronavirus_Aid,_Relief,_and_E... Granted the one you reference was passed prior, the CARE Act was introduced first. The CARE Act was never in danger of being dropped, as the market was counting on it (it is filled with pork).

sabujp 6y ago

https://www.federalreserve.gov/newsevents/pressreleases/monetary20200323b.htm https://www.federalreserve.gov/newsevents/pressreleases/mone... , the fed is buying junk corporate bonds

mrep 6y ago
They announced their intention but I don't believe they have actually bought any yet [0, 1]. Also, their balance sheet shows they are buying predominately U.S. Treasury securities and Mortgage-backed securities [2]. [0]: https://www.cnn.com/2020/05/04/investing/fed-junk-bonds-etfs-debt/index.html https://www.cnn.com/2020/05/04/investing/fed-junk-bonds-etfs... [1]: https://twitter.com/TruthGundlach/status/1256352949787176960 https://twitter.com/TruthGundlach/status/1256352949787176960 [2]: https://www.federalreserve.gov/releases/h41/current/ https://www.federalreserve.gov/releases/h41/current/