The St. Louis Fed Financial Stress Index reached a record low of -1.604 in the week ended February 14, further extending a series of exceptionally sanguine readings that started around mid-January. Stock market highs, solid economic data, retreating economic risk other than those posed by the COVID-19 outbreak which seems to be limited for the moment, the prospect of a Fed on hold with interest rates for the foreseeable future, and reassuring testimony from Fed Chair Powell probably all contributed.
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