Hiring is soft, pay is barely up, consumers are cautious and economic growth has yet to pick up. And yet today, the Federal Reserve is expected to take its first step towards reducing the extraordinary stimulus it has supplied to help the U.S. economy rebound from its deepest crisis since the Great Depression. That begs the question....
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Every Success,
The INO.com team
Regardless of what they say, they can't "taper",.
Just the opposite, they will be forced to INCREASE purchases of toxic bonds, as the rest of the world moves into high gear dumping them. They are trapped. This will continue until there is an implosion and the whole house of cards tumbles down. May be marked by many explosions, as in World War III, I doubt they intend to go quietly into the night.
Steve,
Thank you for your interesting perspective.
Like I mentioned, the FED is addicted to cheap money as they have no other plan. If they did they would have used it long before now.
Thanks for taking the time out of your day to contribute your view point and comments.
Cheers,
Adam
Adam Hewison
President, INO.com
Co-Founder of MarketClub.com
Stocks, Precious metals, and Crude Oil, believed to be a competitor or options or as an investment avenue alternatives of each other, however after announcing FED policy, Dow rises about 150 points and Gold rises nearly $ -30, and Crude oil is also strong, i just cant understand how it become possible? when they are alternatives for each other.
Even as per academic point of view, impacts of any kind of policy changes or policy announcement thereon are just should and must be opposite of each other, then how can the same impact or movement, or in same direction movements are possible after fed policy announcement?
in fact, this issue indicates that not just "something" but "every" thing going wrong here, all markets are driven only through speculative forces or speculator's initiatives, without any kind of support of fundamental or academical principles, so any respective study become absolutely useless or irrespective, at-list to predict any future movements on short term of any market.
Jeremy; a wise man once said that everyone is happy while the welfare money is being handed out, until the man handing it out runs out of money.
How true R.E.
Thanks,
Jeremy
The Federal Reserve has decided against reducing its stimulus for the U.S. economy, saying it will maintain the pace of its bond purchases because it thinks the economy still needs the support.
http://news.ino.com/headlines/?newsid=6865883857576710
Cheers,
Jeremy
no one seems to get that we have been living the bubble life for the last twenty plus years, until now, the old folks who are retired or sort of retired, have their own money, don't owe anyone, own their home and lived this before, they get it, well theirs nigh on one hundred million of them in the u.s.a., they don't spend like rock stars and the economy suffers, so get on the band wagon, no big jump in the economy,very little growth, take a look at the unemployed age group, the largest of which, are young folks can't get a job, don't have any venture capital, don't know how to exist in a place where milk and honey don't flow, however some are learning, most are not, so hunker down baby, it's a long ride.
It's surely is going to a wild and long bumpy ride whatever their decision is R.E. All I know is the market is full of Fed money and you have to wonder what will happen once it's gone.
Thanks,
Jeremy