Fed Surprising cut the rate, Will it stomp more fear or greed on investors’ heart?

Yesterday the FOMC held intermeeting and announced to cut the policy rate 50bp from the current level. In a normal situation this action would imply to more liquidity will flow to capital market. However, looking at the price action of US market yesterday, it seems that investors assume that this easing action happened because the threat from COVID-19 outbreak may already hit or could be big impact in the future.

I have found this table from the internet. From the historical point of view it seems that the rate cut policies did not perform well as it was desired. As shown in the table, most of the time, 1 year return from annoucement date is negative. However, if we compare between return 2 week before rate cut and 1 month after the rate cut it show that the action was help as short term support for the market then the recovery tend to vanish after that.

Base on that historical trend, I think we should have a good time for buy side stock investor for a month then we prepare for more down side risk later.