QE3 Archive

Fed’s Williams slips in a plug for a fiscal response

So look what slipped into a Fed statement: *DJ Fed’s Williams: Current Economic Conditions Call For Strong Fed Response *DJ Williams: Weak Total Demand Calls Supports Fed Policy Action *DJ Williams: Sees Value In Targeted Stimulus Actions *DJ Williams: Mortgage Bond Buying Has Helped Housing Market *DJ Williams: Fiscal Actions May Also ...Read More

CPI, Empire, and Bernanke’s managing of expectations

Right, core is giving Bernanke ‘cover’ to not do any more QE. I think he now realizes QE doesn’t actually do anything positive for the economy, as all his staff studies show. Yes, it can lower term rates a tad, but it also removes interest income as he himself seemed to have ...Read More

Researcher: China Worried About US Economy

>    >   (email exchange) >    >   On Jul 14, 2011, at 2:58 AM, wrote: >    >   Interesting article on Chinese being concerned on Bernankes speech hinting on more stimulus. >   Seems like they are very wary. >    Agreed! To the point he’s probably given assurances in no uncertain terms that it won’t happen. Researcher: China worried ...Read More

Bernanke Admits Economy Slowing; No Hint of New Stimulus

In fact, no one on the FOMC has called for QE3, so it’s highly unlikely with anything short of actual negative growth. So the question is, why the unamimous consensus? I’d say it varies from member to member, with each concerned for his own reason, for better or for worse. And I ...Read More

China Has Divested 97 Percent of Its Holdings in U.S. Treasury Bills

So it looks like QE2 indeed managed to scare China out of the dollar. This is the portfolio shifting previously discussed that’s been dragging down the dollar even though, fundamentally sound, as Fed Chairman Bernanke correctly stated. And when China (and Japan) offered to buy Spanish and other euro zone national govt ...Read More