FAST FIVE: To Save The Stock Market, The Fed Threatens Destruction Of Trillions In Middle-Class Retirement
It has cut interest rates to unprecedented low levels, bought billions of dollars of corporate IOUs, helped stabilize the debt markets and helped rescue a stock market that had begun falling sharply in mid-February when the COVID-19 recession started and that seemed headed for a crash.
It's even higher than the yield on a 30-year Treasury bond, something that you rarely see.
There are also going to be problems for insurance companies and for other firms onto which many corporate employers have offloaded their pension obligations in order to clean up their balance sheets and minimize their future financial risks.
This makes the middle class particularly vulnerable to rising rates in the future.
Corporate pension funds engage in the same process, but they are required to make far less optimistic assumptions.