Fed Rate Cut on the Table Says BofA's Meyer

The video discusses the challenges monetary policy faces in addressing supply shocks compared to demand shocks. It highlights the unpredictability of viral outbreaks and their impact on behavior. Central bankers rely on market signals to gauge economic conditions, and financial conditions can prompt the Fed to consider rate cuts, even without hard evidence in the economy.

In what scenarios might the Federal Reserve consider a rate cut?

What factors could lead to a deterioration in financial conditions?