Bloomberg ETF Analyst: US Stocks Are 'Too Big to Fail', Fed May Buy Stock ETFs to Bail Out Market in the Future

CoinFeed reported on July 7, Bloomberg senior ETF analyst Eric Balchunas published a study saying that the US stock market is gradually becoming the de facto 'retirement fund' of the United States, with about 55% of Americans owning stocks, and the 'Trump Accounts' plan expected to add about 28 million investors, the stock market is increasingly linked to household wealth, pensions, and social stability. He believes that in the next major bear market, there is a high probability that the Federal Reserve will purchase stock ETFs for the first time to stabilize the market, similar to its purchase of corporate bond ETFs in 2020, and the practices of the central banks of Japan and China. Balchunas believes that future political pressure will make prolonged bear markets increasingly intolerable, and the continuous inflows into ETFs on market dips and investors' widespread expectation of government bailouts also reflect this trend.