There are risks to liquidity from rock-bottom rates

This causes weird things to happen in credit markets: a store where the products cost nothing, or almost nothing, is unlikely to function like a normal store. This is most visible in money market funds, the vast cash-like investment pools that investors treat as a higher-yielding alternative to bank deposits. To recap recent events: as the seriousness of Covid-19 became clear, there was a rush out of “prime” money market funds, which invest in corporate debt, to the safety of government funds — which were already receiving heavy inflows as investors got out of still riskier assets.
— Read on finance.yahoo.com/m/822acb4b-c5df-36a7-bc5d-cff319933193/there-are-risks-to-liquidity.html

Fed’s Near-Zero Rates to Last into 2023, Economists Predict

(Bloomberg) — The Federal Reserve may hold interest rates near zero for three or more years, and its balance sheet will soar above $10 trillion as policymakers seek to revive the U.S. economy from recession, economists said in a Bloomberg survey.Just over half the 31 respondents to an April 20-23 poll
— Read on ca.finance.yahoo.com/news/fed-near-zero-rates-last-110000931.html

Week of Central Bank Superlatives Sees 39 Rate Cuts Globally

(Bloomberg) — It began with 75 basis points from the Reserve Bank of New Zealand ended with 50 from the central bank of Mexico.This week has seen an unprecedented 39 interest rate cuts globally, with monetary-policy heavyweights like the Federal Reserve and the Bank of England to more peripheral central
— Read on ca.finance.yahoo.com/news/week-central-bank-superlatives-sees-092639712.html