A year ago today, the Fed pulled out all the stops to save the market

The Fed turned the market on its head on this very day last year

• The Fed has just taken all risk out of banking and lending

Amid the virus crisis a year ago, the S&P 500 bottomed on 23 March 2020 before producing a remarkable rebound all the way until now. Since then, the index is up by 76% as of the close yesterday as compared to the close at the bottom last year.

The Fed came to the rescue (↑) with an unprecedented wave of support measures like we've never seen before and that has flipped sentiment completely alongside their other stimulus measures at the time to prevent a further collapse.

As much as there is concern about the recent tantrum on reflation (even before the taper) and fears that tax hikes may scupper high-flying stocks, this is a reminder of the power of easy money and what the Fed can do to relieve the pain.