[YjSe2GMQ]

Not to mention that the Fed made a "profit" on the liquidity injection. "Profit" because central bank doesn't really care about anything like profit, but the point is everything was repaid.

That being said, there's a widespread belief called "Greenspan put" or "Fed put": https://www.daytrading.com/fed-put

[ethbro]

It's hard to imagine central banks not making a profit on liquidity injection.

As long as they have a semi-accurate pulse on real asset values, as a lender of last resort they have the sole ability to buy assets at distressed values. Nobody else has the ability to take a bath as the market implodes and simply create new capital to buy things at less-than-face-value.

You'd only expect things to go really bad if the Fed mispredicted actual values.