Was he inspired by Monday’s gathering of his (two) living predecessors and their talk of legacy? Was he trying to keep Esther George from becoming the third person to go eight-for-eight in dissents? Or was the sly gray fox slow-playing us all along? Either way, history will note that it was Ben Bernanke who both began and began to end the great stimulus measure known as quantitative easing, and that the economy will have to try to survive being propped up with just $75 billion in bond purchases each month. Read more »
FYI. Read more »
Among the many reasons given by the Federal Reserve for their reluctance to buy, say $80 billion in bonds each more instead of $85 billion, is that U.S. policymakers continue to refuse to make policy. Like, say, policy to keep the government operating.
Sen. Patty Murray (D., Wash.) and Rep. Paul Ryan (R., Wis.), who struck the deal after weeks of private talks, said it would allow more spending for domestic and defense programs in the near term, while adopting deficit-reduction measures over a decade to offset the costs….
Some investors say that the deal could push forward the Federal Reserve’s taper timetable. In September when the central bank surprised investors and kept its $85 billion-a-month bond-buying program in place, it cited the looming budget battle as a reason for caution. But now, that risk has diminished.
QEphobe Sees No Good Reason To Taper Now, Except That Stimulus Program Was A Terrible Idea From The Git-GoBy Jon Shazar
Atlanta Fed President Dennis Lockhart is what you might call a bellwether at the central bank, given his closeness to the Great (Retiring) Beard. That means he’s a winner. It also means he may or may not have any strong opinions of his own. Except this one: It is high time that the Fed made a decision on tapering. Now, he’s not saying what that decision should be, but if someone knows, they should probably tell him. Read more »