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Wall Street's Bet on a Fed Safety Net Gets the History of the Greenspan Put Wrong

6/24/2026

Stock investors betting that the Federal Reserve will step in to cushion market losses are misreading a key piece of financial history.

The so-called "Greenspan put" — the conviction that former Fed Chair Alan Greenspan reliably caught falling portfolios — was a myth, not a policy.

And a "Warsh put" from the current Fed, analysts argue, is equally unlikely to arrive.

What a "Fed Put" Actually Means In options markets, a put is a contract that protects the holder against a price drop — you pay a premium for a guaranteed floor.