Global Economic News and Analysis
Written by Steven Hansen The Federal Reserve’s FOMC meeting minutes were released earlier this week indicating many (few, majority, most, all?) members were leaning towards terminating some aspects of the current quantitative easing (QE) purchases sooner rather than later. ….A few participants noted that they already viewed the costs as likely outweighing the benefits and …
Continue reading “How Will Ending Quantitative Easing Effect the Markets?”
by Lee Adler, The Wall Street Examiner Bloomberg had this headline yesterday: Banks Use $1.77 Trillion To Double Treasury Purchases They led with this: The gap between U.S. bank deposits and loans is growing at the fastest pace in two years, providing lenders with more funds to buy bonds and temper the biggest sell-off in …
Continue reading “Bloomberg: Misleading on Banks Buying Treasuries”
Won’t reduced PBoC purchases be hugely disruptive to the US economy and to the US Treasury markets?
No, they won’t. There is so much nonsense still being said about this, even by economists who should know better
QE2 will be over before the end of June 2011. In simple words, QE (aka quantitative easing) is in effect the same as government buying its own debt.
Foreign direct investment in the U.S. has been offsetting some of the net goods and services trade deficit in 2010. Can that continue?