Fed WSJ Article on QE/Twist

From: Fed Weighs ‘Sterilized’ Bond Buying if It Act

Many Fed officials believe strongly the bank reserves it has created as part of this money creation aren’t an inflation threat. But they are acutely aware of a popular perception, also held by a few inside the Fed itself, that the money the Fed has created could cause an inflation problem down the road.

Karim writes:

Dealing with perceptions not reality.