MARKET PULSE Archives Aug. 22, 2012, 2:00 p.m. EDT Fed minutes show active discussion of QE3 By Steve Goldstein WASHINGTON (MarketWatch) - Members of the Federal Reserve got closer to pushing the button on a new round of bond purchases even as a less aggressive step of altering language on a low-rate pledge seems to be in the works, according to minutes from the July 31-Aug. 1 meeting released Wednesday. "Many members judged that additional monetary accommodation would likely be warranted fairly soon unless incoming information pointed to a substantial and sustainable strengthening in the pace of the economic recovery," the minutes said.
When bond prices plunged last week, it made me wonder.... is Uncle Ben going to lower Uncle Sam's borrowing costs (in the spirit of the ECB, of course, who is doing the same for Spain)? QE3 = easy trendz, but at what economic price?
Bubble ben bernanke will do anything possible, right now the economy has become so dependent on worthless trillions that there is no way to stop it. Without the worthless trillions this economy cant function on its own...right now markets are cheering, but in years to come most will realize it was the worst decision that was ever made to sustain a false impression of economic growth.
how many times has this market rallied on QE3 being "closer"... at least a dozen times now isnt the market supposed to be smart? every time bernanke speaks he can just say he's closer/will do whatever it takes/ etc and the market will go up like pavlov's dog... he never even has to do anything any time he wants to get the market up he can just issue a statement: guess what market, im closer now! and the market will go up on cue! this is an absolute joke
If this is a buy the rumor, sell the news situation... its Rumor 20 News 0 can we just rumor the market to all time highs???
I'm a little confused! Perhaps you fellas can straighten me out. In Dec 2011 the Fed sent $600 billion to the ECB and that was basically to debt monetize the Euro. Jim Sinclair seems to think that was QE3 and I agree...where are we wrong?
Okay, I'll bite, if only to be contrarian. 2012 GDP is estimated to be 15.4 trillion. That's a 10% increase from 2008 GDP of 14 trillion. That's in spite of the fact that unemployment this year has been steady around 8.2%. Compare to the 2008 unemployment of 5.8%. The economy is getting more and more efficient. Maybe there are other things driving this market besides QE?