Category: Quantitative Easing
The analysis published under this category are as follows.
Wednesday, September 19, 2012
QE3 Blowing Up the Debt Bubble / Interest-Rates / Quantitative Easing
By: BATR
It begins . . . the latest downgrade of credit worthiness for the former titan reserve currency. As reality strikes, financial confidence goes negative. Forget the pump and dump equity markets, just how long will it be before the bondholders demand higher interest rates to cover their risk? Ben Shalom Bernanke answers this concern with intentions to keep rates near zero. Pure escapism out of the strange world of banksters’ hubris - faces the rating agencies. US Credit Rating Cut by Egan-Jones ... Again
Tuesday, September 18, 2012
Quantitative Counterfeiting Forever / Interest-Rates / Quantitative Easing
By: Michael_Pento
Last week, Fed Chairman Ben Bernanke announced that the central bank would launch an unprecedented form of quantitative easing. This “new and improved” iteration of money printing will be without limit and duration. The Fed Head launched QE III ($40 billion of MBS purchases every month) on September 13th and stated that it will remain in effect until the labor market “improves substantially.” He also promised that, “The Committee will continue its purchases of agency mortgage backed securities, undertake additional asset purchases, and employ its other policy tools as appropriate until such improvement is achieved…” In other words the Fed will continue to counterfeit money until there is a substantial decline in the unemployment rate. Read full article... Read full article...
Monday, September 17, 2012
Federal Reserve Flirting with a New Paradigm Shift / Interest-Rates / Quantitative Easing
By: Darah_Bazargan
It has been my long expectation that the Federal Reserve would uplift a sagging financial system by way of injecting more liquidly into our economic bloodstream.
On Thursday September 13th, Fed Chairman Ben Bernanke announced Quantitative Easing 3, initiating the purchase of 40 billion dollars in mortgage backed securities per month on an open-ended basis.
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Monday, September 17, 2012
Bernanke And Draghi Are Not Trying To Save Our Economies / Politics / Quantitative Easing
By: Raul_I_Meijer
Obviously, after a week of big-time announcements, the German Supreme Court, Mario Draghi's bond buying scheme and Ben Bernanke's QE3 (both virtually unlimited - or presented as such), it's tempting to think the western world is well on its way to tackling its financial crises. Looking at the stock markets one might even presume all's fine out there already.
Sunday, September 16, 2012
QE3 Fed Panic / Interest-Rates / Quantitative Easing
By: Stephen_Lendman
On September 13, the Fed announced QE 3. Pimco head Bill Gross tweeted Bernanke plans to buy mortgages "till the cows come home."
It's open-ended along with near zero short-term rates. His move suggests desperation. What does he know, we don't, and why now? Things aren't as they seem. They're worse.
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Saturday, September 15, 2012
Bernanke's Operation Twist Morphs into Operation Screw / Interest-Rates / Quantitative Easing
By: Peter_Schiff
With yesterday's Fed decision and press conference, Chairman Ben Bernanke finally and decisively laid his cards on the table. And confirming what I have been saying for many years, all he was holding was more of the same snake oil and bluster. Going further than he has ever gone before, he made it clear that he will be permanently binding the American economy to a losing strategy. As a result, September 13, 2012 may one day be regarded as the day America finally threw in the economic towel.
Saturday, September 15, 2012
Fed QE 3 Program is Short Term Thinking For Long-Term Pain / Interest-Rates / Quantitative Easing
By: Graham_Summers
Yesterday the Fed announced QE 3: an open ended program through which the Fed will purchase $40 billion worth of Mortgage Backed Securities every month until it decides that the world is right again.
The implications of this are severe. However, the first question we have to ask is, “why now?”
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Friday, September 14, 2012
Marc Faber: Fed QE3 Policy Will 'Destroy the World' / Interest-Rates / Quantitative Easing
By: Bloomberg
Marc Faber, publisher of the Gloom Boom & Doom Report, told Bloomberg Television's Betty Liu on "In the Loop" today that "the fallacy of monetary policy in the U.S. is to believe this money will go to the man on the street. It won't. It goes to the Mayfair economy of the well-to-do people and boosts asset prices of Warhols.
Faber said that he is "very happy. Very good for the Fed. Congratulations, Mr. Bernanke. I'm happy. My asset values go up but as a responsible citizen I have to say the monetary policies of the U.S. will destroy the world."
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Friday, September 14, 2012
Central Bankers Insider Traders of Last Resort, Can Remain Solvent Longer Than Markets Can Stay Irrational / Stock-Markets / Quantitative Easing
By: Andrew_Butter
The synchronized announcement of QE-3 plus the capitulation of the German hard-liners to the money printing plans of the ECB caused a knee-jerk jump in the price of gold measured in dollars, and a collective sigh of…”here we go again”.Surely Hayek is turning in his grave? Perhaps not:
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Friday, September 14, 2012
Money Printing No Limits, So Buy Gold and Silver / Commodities / Quantitative Easing
By: Fred_Sheehan
The European Central Bank's latest maneuvers jettison limits to the expansion of its balance sheet. The ECB's manner of improvisation is reminiscent of Federal Reserve Chairman Ben S. Bernanke's dismissal of legal restrictions in 2008, when Bernanke talked his way around the law before pliant, ignorant, and frightened politicians.
Friday, September 14, 2012
Perma-QE: Lessons from Bernanke's Latest Splurge / Interest-Rates / Quantitative Easing
By: Ben_Traynor
Negative real interest rates show no signs of going away...
AFTER months of "quanticipation", the Federal Reserve has finally done it. Ben Bernanke yesterday announced another round of asset purchases.
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Friday, September 14, 2012
QE3 of $40 Billion Per Month Impact on Markets / Stock-Markets / Quantitative Easing
By: Puru_Saxena
On Thursday, the Federal Reserve initiated QE3 and this prompted a big rally in risky assets. As you know, we were expecting Mr. Bernanke to unleash ‘stimulus’ but even we were taken aback by the extent of the easing.
During his press conference, Mr. Bernanke stated that the Federal Reserve will buy US$40 billion worth of agency mortgage-backed securities every month until the US job market improves. Furthermore, he confirmed that the Federal Reserve will continue with its Operation Twist 2 program,keep interest rates at near zero until mid-2015 and maintain an accommodative monetary policy well into the economic recovery! When a reporter asked Mr. Bernanke whether he could elaborate until when the Federal Reserve will continue to create US$40 billion every month ‘out of thin air’, he evaded the question.
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Friday, September 14, 2012
Unlimited QE3", Federal Reserve Attacks US Dollar, Risks Currency Warfare / Interest-Rates / Quantitative Easing
By: Dan_Amerman
QE3 Summary
The Federal Reserve has just announced that it would launch the so-called "QE3", or "Quantitative Easing Three" program. Key components are:
1) The creation of $40 billion a month out of thin air to purchase agency mortgage-backed securities at artificially low interest rates;
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Wednesday, September 12, 2012
QE3, What’s the Fed Going to Do? / Interest-Rates / Quantitative Easing
By: Graham_Summers
Yesterday we worked through the illusion to the reality of the ECB’s “unlimited” bond purchases, the end result being that we discovered the ECB:
Sunday, September 09, 2012
Why The Fed Will Not Launch QE3 / Interest-Rates / Quantitative Easing
By: Tony_Pallotta
Whether the Fed decides to launch QE3 this week is far more a complex decision than they lead us to believe. It is not as simple as monitoring economic data and deciding whether to expand the balance sheet or not.
Yet the Fed rarely discusses what that other criteria is in making such an important decision. The recent Jackson Hole speech by Chairman Bernanke did offer some insight to the other factors, as well as his recent Congressional testimony.
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Wednesday, September 05, 2012
The U.S. QE Debate / Interest-Rates / Quantitative Easing
By: Peter_Schiff
There is an ongoing three way debate between those who believe the Fed should do more to strengthen the recovery, those who believe that the recovery is strong enough to continue on its own, and those who believe that the economy has been so fundamentally altered by the recession that no amount of stimulus can succeed in pushing unemployment down to pre-crash levels. As usual, they all have it wrong (although some are more wrong than others).
Wednesday, September 05, 2012
Why the Fed Should Not Do QE3 / Interest-Rates / Quantitative Easing
By: InvestmentContrarian
Sasha Cekerevac writes: In his recent speech at the Jackson Hole economic symposium, Federal Reserve Chairman Ben Bernanke made some interesting comments in regards to monetary policy. Following these remarks, gold moved up strongly, indicating that the market’s interpretation was that the Federal Reserve was indeed going to enact further stimulative monetary policy, also known as quantitative easing #3 (QE3). However, I don’t think it’s clear from the speech or recent events as to why now is the best time to use this monetary policy tool.
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Tuesday, September 04, 2012
Marc Faber Expects US Fed to Launch QE3, Though U.S. Stock Markets Are Discounting QE3 / Stock-Markets / Quantitative Easing
By: Videos
Marc Faber - Eyes on Global Macro -
Expect US Fed to launch Qe3 Programme. US Markets have outperformed, Agro-commodities doing well. Negative sentiments about Eurozonr. Fears of slowdown in China. Indian Stock Markets rebounded.
Sunday, September 02, 2012
Ultra Easy Monetary Policy and the Law of Unintended Consequences / Interest-Rates / Quantitative Easing
By: John_Mauldin
"No very deep knowledge of economics is usually needed for grasping the immediate effects of a measure; but the task of economics is to foretell the remoter effects, and so to allow us to avoid such acts as attempt to remedy a present ill by sowing the seeds of a much greater ill for the future." – Ludwig von Mises
We heard from Bernanke today with his Jackson Hole speech. Not quite the fireworks of his speech ten years ago, but it does offer us a chance to contrast his thinking with that of another Federal Reserve official who just published a paper on the Dallas Federal Reserve website. Bernanke laid out the rationalization for his policy of ever more quantitative easing. But how effective is it? And are there unintended consequences we should be aware of? Why is it that the markets seem to positively salivate over the prospect of additional QE?
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Friday, August 31, 2012
Republicans Take Aim at Bernanke, Fed’s QE Policy is on the Chopping Block / Politics / Quantitative Easing
By: Gary_North
Politicians running for the US Presidency, and their surrogates, are fond of saying “that this election is the most important of our lifetime.” They invoke this cliché so reflexively and so often that it no longer has any meaning. The reason they say this election is so important is because they want listeners to believe, for whatever reason, that it pits two deeply contrasting visions for America against one another, with only one vision capable of winning.