Central banks can’t play savior around coronavirus, Peter Boockvar says
Low interest rates will prevent central banks from staving off the economic consequences of the coronavirus, Bleakley Advisory Group’s Peter Boockvar said Monday. “They’ve expended so much ammunition already that people should not be looking at them for any type of savior-type behavior,” the firm’s chief investment officer said on CNBC’s “The Exchange.” The Federal Reserve funds futures market points to a 56% chance of at least a quarter-point rate cut at the Fed’s April meeting, according to the CME FedWatch tool. That increases to a 76% chance at the Fed’s June meeting. Investors continue to put faith in the Fed “because they’ve been conditioned for the last 10 years … in thinking that the Fed can cure every ill,” Boockvar argued. “I’m telling you that they’re not going to be able to cure this one.”
