Cutting Rates Isn’t Going to Ease Public Fear: AllianceBernstein’s Zeng

The video discusses the economic stimulus measures expected globally, focusing on central banks and government actions. It highlights market panic due to the virus and oil price war, and the role of central banks in addressing these issues. The limitations of rate cuts in pandemics are noted, emphasizing the need for public health and fiscal policies. The balance between government measures to control the virus and their economic costs is explored, with a focus on Asian credit markets and their stability.

What was the expected basis point cut during the March 18th meeting?

• 25 basis points

• 50 basis points

• 100 basis points

• 75 basis points

Which two major issues are causing global market panic?

• Currency devaluation and stock market crash

• Interest rate hikes and unemployment

• Virus spread and oil price war

• Trade wars and inflation

Why are rate cuts considered ineffective in dealing with pandemics?

• They cause currency devaluation

• They lead to higher unemployment

• They do not address public fear or supply chain issues

• They increase inflation

What is crucial for leading the charge against the virus according to the transcript?

• Monetary policy

• Public health and fiscal policy

• Military intervention

• Trade agreements

What has been the trend in borrowing costs for Chinese corporates?

• They have remained stable

• They have increased significantly

• They have fluctuated unpredictably

• They have decreased dramatically