Updated: May 25, 2020
New York | In this issue of The Institutional Risk Analyst, we review some of the credit developments that have occurred since the explosion of the COVID19 pandemic and related hysteria. But first a few comments about the American political economy seem to be warranted.
With the panic-stricken response to COVID19, any semblance of fiscal probity in the major industrial nations has long since been tossed into the dumper. In Washington, the national Congress passed the largest unfunded mandate in American history with the CARES Act and promptly left town for safer climes. Would that Mark Twain were alive today. Full nationalization of the US credit markets has been achieved. The US Treasury bond market and the government-covered mortgage related markets are the only liquid markets remaining outside of the crap shoot/inflation he