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James Sweeney joins us now with Credit Suisse.

Mr Sweeney has been absolutely extraordinary on pushing back against the fears of

deflation. Let's get to that in a minute, James Sweeney. Right now, the Fed acts. Why did

they have to act now? Give us the why of this moment for Chairman Powell.

Well, so the light switch of the economy has been turned off to fight the virus.

And what that means is economic activity is low we knew these

claims numbers these employment numbers were going to be terrible but what the

job of policy makers is at a time like this is to ensure that the payments flow through the

economy continues even if economic activity is low.

And using the tools of war finance, money printing, debt expansion, etc, it is

possible to disassociate that payments flow from actual activity for a little while. This is what we do in Wars, but the risk here is missed payments, missed obligations, balance sheet damage, all of that.

But if you can get this payment's problem right

...