Brief: The Fink-Powell Fed Making Trump’s Market Irrelevant

Eyes opened when the news came out that Steve Mnuchin had requested the Fed return unused stimulus money. Money that Powell and Fink have used to artificially boost the market, making Trump’s declarations that he was the sole person responsible for its performance null. 

Trump’s temper has flared in recent weeks with the Fed who has been seen sending the market to all time highs in the face of COVID lockdowns, election impropriety and high unemployment.  This was obviously the reason stimulus has been put back on the table so soon after the election, hoping to head off Mnuchin’s threat, but it’s unlikely Trump would sign off on a package.  I expect McConnell and the GOP to dig in with a low $500-700 billion deal and force the Dems to swallow it.