Fed emergency rate cut asset reactions
The implications of the Federal Reserve's emergency rate cut will take some time to sort through. Nobody really knows, especially since it seems like a lot of the potential was built into Monday's gains.
Historically, emergency cuts have not been a good long-term sign, since most of them happened leading up to and during the recessions of 2001 and 2008.
On a shorter-term basis, stocks gyrated in the days following the cuts. By a month later, all but one were higher, though that exception was ominous as it was during the final plunge of the financial crisis.
Bond futures did not react well, with 10-year Treasury note futures falling most of the time over the next several weeks.
The dollar's first reaction was usually negative, reversing that somewhat in the months ahead.
Gold wasn't much of a safe haven over the next couple of weeks, with a couple of exceptions.
Because most of these triggered during recessionary environments, it wasn't a great sign for crude oil, either.