Fin60304 Financial Market|Fiscal Policy Assessment Answer

Turnitin by Monday 25 June 2020 @ 2pm. No hardcopy submission is required.The spread of the novel coronavirus diseaseCOVID-19has severely impacted the global financial markets. These are incredibly uncertain times, with countries around the world suffering the destabilizing effects of the pandemic. No company is immune to the challenges caused by the health crisis, and there are understandable concerns about the damage caused to the worldwide economy.At the start of February 2020, investors were confident that the outbreak would ease, buoyed by figures suggesting that cases were leveling off. However, as thenumberofinfectionscontinued to increase, initial optimism began to subside. The World Health Organization declared COVID-19 a pandemic, setting financial markets up for significant losses. Fearing that the virus will destroy economic growth what would be happened to the financial market? Elaborate your findings on points below:-Impact of Covid-19 outbreak to the economy-Responds from the government and federal reserve to support the economy i.e. interest rate and fiscal policy-Consequences of the responds by the government and federal reserve to the financial market, currency and economy i.e. fiscal deficit, GDP growth-Price action of the bond and stock marketIn your own opinion what government and federal reserve could do more to support the economy?