http://finance.yahoo.com/news/Bernanke-Fed-would-supply-apf-1990658503.html?x=0&.v=7
And how's that QE 1 and 2 working for you? It's all about stocks, and it would seem to work forever. The FED is now the LARGEST holder of US Treasuries, why not print and buy some more?
Savers can now grab BOTH ankles, metals on fire, US $ took a dive no surprise
"The Fed has kept its key interest rate at a record low near zero since December 2008. Most private economists believe the Fed will not start raising interest rates until next summer. And some say the Fed won't increase rates until 2013, based on the slumping economy.
Bernanke was testifying after the government released a dismal jobs report last week.
The economy added just 18,000 jobs last month, the fewest in nine months. And the May figures were revised downward to show just 25,000 jobs added -- fewer than half of what was initially reported. The unemployment rose to 9.2 percent, the highest rate this year.
Companies pulled back sharply on hiring after adding an average of 215,000 jobs per month from February through April. The economy typically needs to add 125,000 jobs per month just to keep up wiht population growth. And at least twice that many jobs are needed to bring down the unemployment rate."
THIS POLICY HAS BEEN 100% INEFECTIVE IN ROUSING THE ECONOMY....so let's do it some more
D
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2 comments:
It was not aimed at the economy. QEI & II was done to pump up asset prices, specifically equities, then to buy time while company insiders and those "in the know" unloaded at high prices.
It bought them all time to cash in on the taxpayers dime.
It was a huge success.
Law of diminishing returns is close at hand. Weak volume within a market with little direction.
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