The ECB promises to “monitor markets closely.” Then it came out with a new bond buying binge.
If the Fed hadn’t spent a decade inflating such a mind-blowing Everything Bubble (that had already begun to wobble), the financial reactions wouldn’t be nearly as chaotic.
Chapter 11 bankruptcy that wipes out shareholders is the correct solution for collapsing share-buyback queens. US airlines already know this from experience. It works.
It’s not the drop that worries me, it’s the historic neck-breaking volatility.