The Fed has an important Share in this Stock Market Rally!

My fellow Steemians,

Around March 20, the stock markets managed to establish a solid bottom. Since that moment, the bulls are firmly in control. For example, the S&P 500 index moves above the magical 3,000 point mark. However, this is largely due to the monetary policy of the US central bank.

Jerome Powell has repeatedly said in recent weeks that the Fed will do everything in its power to prevent a hard fall in the economy. Incidentally, this financial support also seems to be badly needed, because unemployment is at the highest level since the Great Depression of the 1930s.

According to the Financial Times analysts, the Fed has a large share in the current stock market rise.

The problem, however, is that the Fed cannot hold the accelerator down forever. The Fed will also have to put on the brakes one day and it remains to be seen whether the financial markets can handle that. Stock markets have been "addicted" to the financial injections of central banks for years. And withdrawal is always difficult.

Is this a bear market trap or has the bull resumed its course?

Thank you for reading!

_{https://slimbeleggen.com/trends/grafiek-de-fed-heeft-een-belangrijk-aandeel-in-deze-beursrally/}