Can the Fed 'breed confidence' in fixed income investors?

Last Monday, for the first time in its history, the US Federal Reserve announced a liquidity programme that includes buying corporate debt.

This was followed on Tuesday by the announcement of an unprecedented $2trn-plus package of spending and tax breaks agreed between Republicans and Democrats. Anthony Bolton: Don't get more bearish as markets go down What will markets make of this? US equity markets certainly responded positively, with the S&P 500 posting its biggest one-day gain since October 2008. For bond investors, buying corporate bonds is a ground-breaking measure that the Fed did not even implement during the equally tumultuous times of the Global Financial Crisis, and its importance cannot be understated. ...