Kitco News, Released on 10/15/20

With the Federal Reserve having expended almost all monetary tools now, the only major course of action left, short of directly buying ETFs, is more quantitative easing, said Danielle DiMartino Booth, CEO of Quill Intelligence.

“If you’re at the zero bound, and the Fed has been at the zero bound for much of the last decade, if you’re at the zero bound, the only discussion you’re really having is how do we get more product, how do we get more [quantitative easing],” Booth told Kitco News.

Booth was a former advisor with the Federal Reserve Bank of Dallas from 2006 to 2016, working with Richard Fisher. She is author of “Fed Up: An Insider’s Take on Why the Federal Reserve is Bad for America.”

0:35 – Market volatility and fiscal stimulus
3:12 – Taxes vs stimulus: impacts on markets
4:35 – Monetary policy
7:56 – Can central banks cause recessions?
9:45 – How the Fed makes policy decisions
12:54 – Are Dot Plots useful to analyze?
14:07 – Data to watch
15:21 – Credit cycles
17:25 – Additional risks and volatility ahead

Danielle DiMartino Booth is CEO & Chief Strategist for Quill Intelligence LLC, a research and analytics firm. She spent nine years as an advisor to Richard W. Fisher at the Federal Reserve Bank of Dallas. Danielle left the Fed in 2015 to found Money Strong, LLC, an economic consulting firm and launched a weekly economic newsletter She is the author of Fed Up: An Insider’s Take on Why the Federal Reserve is Bad for America. DiMartino Booth began her career in New York at Donaldson, Lufkin & Jenrette and Credit Suisse, where she worked fixed income and the public and private equity markets. Danielle earned her BBA as a College of Business Scholar at the University of Texas at San Antonio. She holds an MBA in Finance and International Business from the University of Texas at Austin and an MS in Journalism from Columbia University.

  Fed, gold