Fed Tapering — Shades of 1937?

In the press conference immediately following the December 17-18, 2013 FOMC meeting, Fed Chairman Bernanke indicated that it was the FOMC’s current plan to have terminated Federal Reserve outright securities purchases by the end of 2014, commencing with a $10 billion reduction in securities purchases immediately after the December 2013 FOMC

The Fed Is Losing Control Over Core Inflation

Written by Steven Hansen The Federal Reserve FOMC meets next week to review the economy and argue monetary policy.  For those who see economic policy as black or white, I have a bridge to sell you. Low interest rates are economically stimulative – or at least should be.  Yet many years into the Fed’s ZIRP …

Economy Remains on Life Support

The economy is much weaker than the picture Chairman Bernanke painted, and it is likely further extraordinary monetary policy accommodation will be necessary. Bernanke gave the opinion that the economy was gaining enough traction to stand on its own without further accommodation. With the consumer only offering modest support and government spending contracting, he can only be correct if private investment increases significantly.