NewsColony

This is a wounded, fragile stock market raging for a proper policy response NewsColony Traders work on the floor of the New York Stock Exchange,  March 12, 2020. Brendan McDermid | Reuters Markets always rush to price in future economic conditions and often overshoot in the process.  But can the recent near-30% crash in three weeks through Thursday have properly discounted an economic path now being set by an intentionally extreme reaction to a global health threat? (The sell-off was on again with stock futures pointing to big losses again at Monday’s open .) It’s impossible to know for sure and probably foolhardy to hazard a confident answer.  What we can do is survey the wreckage, compare the action to prior severe stock-market collapses and stay alert to collateral issues that will almost certainly surface. The only past episodes that compare closely with the speed, intensity and breadth of the selling in recent weeks are the 1987 crash and the 2008 pos...