Investors warn of long-term damage from government and BoE market intervention

But investors are concerned central bank ‘puts’ and government interventions risk doing more harm than good to financial markets.
“Policy intervention is often essential for financial stability. But central banks must balance their role as market stabilisers against the long-term risks of moral hazard and the suppression of creative destruction,” said Laura Cooper, head of macro credit and global investment strategist at Nuveen.
She warned that financial stability comes with a price, including the risk of embedding a bailout culture – something that became increasingly evident post-20…