Category: Quantitative Easing
The analysis published under this category are as follows.
Thursday, August 06, 2009
Bank of England Panics and Prints Another £50 billion to Prevent Economic Depression / Economics / Quantitative Easing
By: Nadeem_Walayat
The Governor of the Bank of England, Mervyn King waved his magic wand again today and conjured another £50 billion into existence to the surprise of most market commentators right from the BBC downwards with Stephanie Flanders seen floundering to back track on previous commentary on BBC TV News, as lemming like behaviour had led the mainstream media to conclude that the Bank of England had put Quantitative easing on hold in the face of growing signs of economic recovery.
Thursday, July 30, 2009
Hidden Flaw in Bernanke's Fed Money Printing Exit Strategy Could Trigger Depression / Interest-Rates / Quantitative Easing
By: Money_Morning
Shah Gilani writes: At its most basic level, the U.S. Federal Reserve’s so-called “exit strategy” is designed to let government bailout and liquidity programs unwind on their own, as markets return to a state of “normalcy.”
Friday, July 24, 2009
No Fed Policy Exit Strategy for Ben Bernanke / Economics / Quantitative Easing
By: Peter_Schiff
In a Wall Street Journal op-ed on Monday, and in congressional testimony later in the week, Fed Chairman Ben Bernanke reassured all that thanks to his accurate foresight and deft use of the Fed's policy toolkit, he could maintain near zero percent interest rates for an extended period without creating inflation. With supernatural powers such as these, one wonders if Ben would be better employed by the Justice League rather than the Federal Reserve.
Friday, July 24, 2009
How to Profit if Bernanke's Quantitative Easing 'Exit Strategy' Fails / Interest-Rates / Quantitative Easing
By: Money_Morning
By Jason Simpkins
writes: After more than a year of lax monetary policy and direct capital infusions, U.S. Federal Reserve Chairman Ben S. Bernanke has finally outlined an "exit strategy" that he says will lead to the "smooth and timely" withdrawal of monetary stimulus and keep inflation at bay.
Wednesday, July 22, 2009
Bernanke Revealing Statement on Accommodative Monetary Policy / Interest-Rates / Quantitative Easing
By: Brian_Bloom
In my article entitled “Case against Hyperinflation” dated June 30th 2009, I attempted to explain, in very broad brush terms, how the Fed might head hyperinflation off at the pass. It fell short of what Bernanke outlines in his article but, thankfully, not so short as to be an embarrassment to me J. Clearly, Bernanke believes he is on top of what he is doing. From a different perspective it might be a serious mistake to predicate one’s investment strategies on the base assumption that Bernanke is an intellectual hunchback who doesn’t understand what he is about.Read full article... Read full article...
Friday, June 12, 2009
Surging Commodity Prices the Unintended Consequences of Printing Money / Commodities / Quantitative Easing
By: Money_and_Markets
Mike Larson writes: So let me see if I get this straight. From their recent lows …
Crude oil prices have more than doubled — to $72 a barrel from $33.55.
Read full article... Read full article...
Wednesday, June 10, 2009
Printing Debt not Money / Interest-Rates / Quantitative Easing
By: Adam_Brochert
We often hear and read about the government “printing money” like there’s no tomorrow. Our federal government has certainly passed out enough money to the people who got us into this mess that it seems as though hyperinflation is theoretically possible. But every US Dollar printed in our current fiat monetary system is actually a debt.
Wednesday, May 27, 2009
California Can Print its Own Money / Politics / Quantitative Easing
By: Global_Research
“I understand that these cuts are very painful and they affect real lives. This is the harsh reality and the reality that we face. Sacramento is not Washington – we cannot print our own money. We can only spend what we have.” Governor Arnold Schwarzenegger quoted in Time, May 22, 2009
Monday, May 11, 2009
Obama Following UK Disastrous Economic Inflationary Policies of Printing Money / Economics / Quantitative Easing
By: Gerard_Jackson
If there is one institution that is in desperate need of a stress test it's the US government. On 7 May the government auctioned $14 billion of 30-year bonds. The yield was 4.28 per cent, much higher than predicted by analysts. When the result became known Treasuries immediately dropped. For those readers who are unaware of the link between bond prices and yields, when the latter rises bond prices fall. This event followed closely behind the UK's failed bond issue. It sure as hell seems that the markets are worried by these governments' financial incompetence. And so they should be.
Monday, May 11, 2009
Quantitative Easing Aka Counterfeiting Money / Interest-Rates / Quantitative Easing
By: LewRockwell
Michael S. Rozeff writes: I begin by describing quantitative easing in technical terms. I go on to describe what it means when a central bank and its government engage in quantitative easing. What is quantitative easing? It is a central bank’s "purchase" of government securities (bills, notes, bonds) directly from the government.
Tuesday, April 14, 2009
Fed Monetization of Debt as U.S. Dollar Flows to Central Banks Collapses / Economics / Quantitative Easing
By: Ned_W_Schmidt
Grand and glorious global housing bubble came to an end not because it had caused so much money to be borrowed. It came to an end because no more money could be borrowed. Debt bubbles come to traumatic conclusions not because so much credit had been created. Debt bubbles implode when no more credit is available. Lack of credit, the fuel for a mania, is what comes to be the problem.
Monday, April 13, 2009
Can Bernanke's Loose Monetary Policy Save the US Economy? / Politics / Quantitative Easing
By: Gerard_Jackson
As expected a great deal of attention is still being paid to the financial sector and its "toxic assets". And then we have the Dow that now seems -- at least to a great many market players -- to be signalling a recovery despite the fact that unemployment is still rising and looks like reaching the 10 per cent level. Reinforcing the Pollyanna's view of the economy is the emergence of a positive yield curve. In addition, figures from the Institute of Supply Management show that its Performance Manufacturing Index for March was up by 0.5 per cent while new orders were up by 8.1 per cent, production by 0.1 per cent and prices by 2 per cent and employment by 2 per cent.
Tuesday, April 07, 2009
Neither Krugman Nor Bernanke Can Distinguish Excessive Money Printing From Excessive Savings / Economics / Quantitative Easing
By: Mike_Shedlock
Earlier today Calculated Risk posted a video and links to Krugman's Talk In Spain on March 17. Here is the video. A partial transcript by me follows. Read full article... Read full article...
Thursday, March 26, 2009
Quantitative Easing Begins; "Operation Twist" Revisited / Interest-Rates / Quantitative Easing
By: Mike_Shedlock
Quantitative easing in the US has begun. The Fed Buys $7.5 Billion of Debt to Cut Borrowing Costs . The Federal Reserve bought $7.5 billion of Treasuries in the first outright purchase of U.S. government debt by the central bank to keep consumer borrowing costs low since the 1960s. It is the first step in a six-month program to buy up to $300 billion in Treasuries.
Read full article... Read full article...
Tuesday, March 24, 2009
Fed Debt Monetization- Creating Credit Out of Thin Air / Interest-Rates / Quantitative Easing
By: Paul_L_Kasriel
Last week the Fed announced that it would purchase $300 billion of longer-maturity Treasury securities. The mainstream media got all excited, talking about the Fed "printing money." But the Fed figuratively "prints money" or creates credit whenever it acquires assets - loans or investments. For example, when the Fed purchases a mortgage-backed security, it pays for the security simply by crediting the deposit (reserve) account of the security seller's bank. Read full article... Read full article...
Monday, March 23, 2009
Ben Bernanke Money Printing U.S. Banana Republic Policies / Politics / Quantitative Easing
By: Michael_Pento
Helicopter Ben Bernanke has earned the new moniker of Banana Ben. He has earned the new name because of his desire to make the United States resemble a banana republic instead of embracing the policies that made the U.S. the greatest nation on earth. It is now abundantly clear to all that not only the Fed Chairman but also this administration will do everything in their power to create inflation. Their efforts are derived from the mistaken belief that inflation can solve everything. Read full article... Read full article...
Sunday, March 22, 2009
Fed Hits Panic Button and Signals Trillions of Dollars Will be Printed to Buy Bonds / Interest-Rates / Quantitative Easing
By: Prieur_du_Plessis
Phew - what a week! What an announcement!
The Federal Open Market Committee (FOMC) on Wednesday left the Fed funds range unchanged at zero to 0.25%, but stunned the financial markets with an announcement that it would purchase up to $300 billion in longer-term Treasuries over the next six months.
Read full article... Read full article...
Sunday, March 22, 2009
Fed’s $1 Trillion Debt-Buying Plan Loosens Lending and Drains the Dollar / Interest-Rates / Quantitative Easing
By: Money_Morning
Jason Simpkins writes: While the U.S. Federal Reserve's plan to buy more than $1 trillion in debt has helped unfreeze the credit markets, it has also effectively capped U.S. Treasury yields and undermined the dollar. And that's caused commodities to soar as currency speculators and safe-haven investors head for higher ground. Read full article... Read full article...
Friday, March 20, 2009
Fed Debt Monetization Moves Spark Refi Madness / Interest-Rates / Quantitative Easing
By: Money_and_Markets
Mike Larson writes: The Federal Reserve has done it now. In poker terms, it's gone “all in.” Specifically, the Fed said this week that it will ramp up its purchases of Fannie Mae and Freddie Mac Mortgage Backed Securities (MBS) from $500 billion to a whopping $1.25 TRILLION in the coming months. The Fed is also going to double its purchases of Fannie Mae, Freddie Mac, and Federal Home Loan Bank bonds to $200 billion from $100 billion. Read full article... Read full article...
Thursday, March 19, 2009
Central Banks Detonate the Quantitative Easing Monetary Nuclear Option / Interest-Rates / Quantitative Easing
By: Gary_Dorsch
Desperate times call for desperate measures. As the global “credit crunch” has grown increasingly severe, central bankers are examining the Great Depression of the 1930's for possible parallels that are relevant to today's situation. Most worrisome, is the synchronized meltdown of the global stock markets, which had wiped-out $32-trillion of wealth, on top of another $10-trillion in losses in real estate. Read full article... Read full article...