While I agree with the stimulus passed in 2009 - to avoid a complete economic meltdown, a stimulus in this situation is unnecessary and irresponsible. Markets naturally need to go through corrections, whether that's due to a black swan event or just market cycles. It's good for the health of the market and economy as a whole. Just like a forest fire is good for the health of a forest, long-term.
Businesses have over levered and should have to deal with the consequences. A stimulus package has the opposite effect of a consequence and will instead encourage companies to over leverage in the future.
These knee-jerk, artificial boosts to the economy every time the market goes down are dangerous and kick the can down the road for future generations to deal with. Problem is, once the market and people get used to it, every sitting president will use the same tactics to strengthen their position, which Trump is doing now to insure his re-election.
Businesses have over levered and should have to deal with the consequences. A stimulus package has the opposite effect of a consequence and will instead encourage companies to over leverage in the future.
These knee-jerk, artificial boosts to the economy every time the market goes down are dangerous and kick the can down the road for future generations to deal with. Problem is, once the market and people get used to it, every sitting president will use the same tactics to strengthen their position, which Trump is doing now to insure his re-election.
Might dump 1 and swap for LUV. Easy long term plays at these levels, even if they drop more. 