Markets Start to Weigh Impact Of Even More Fed Easing
Published: Thursday, 26 May 2011
By: Jeff Cox
CNBC.com Staff Writer
A weakening economy and a wobbly stock market have raised expectations—and in some cases fears—that the Federal Reserve's two-year intervention in the markets may not be over just yet.
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But with the job market weakening, housing far from recovery and growth stuck at a measly 1.8 percent despite trillions of dollars in help from the Fed and Congress, Fed Chairman Ben Bernanke's next act suddenly is unclear.
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Another round of Fed intervention is expected to have one of two reactions in the stock market—either restoring the rally, as Bernanke's comments in Jackson Hole, Wyo., did back in August 2010, or triggering a loss as it becomes a sign that the Fed believes the economy is still weak and unable to function on its own.
The latter possibility is growing more likely, despite the previous successes of QE at pushing stock rallies.
Full article: http://www.cnbc.com/id/43183315
Gold is $1,581/oz today. When it hits $2,000, it will be up 26.5%. Let's see how long that takes. - De 3/11/2013 - ANSWER: 7 Years, 5 Months
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