the-fed

Fed Abandons Stock Markets In 2015, Watch Out – SPDR S&P 500 …

SummaryThe powerful rallies of 2013 and 2014 were driven by extreme Fed money printing to buy up bonds, and the Fed’s associated implied backstop for the stock markets.
But with QE3’s new buying terminated and any QE4 a political impossibility with the new Republican Congress, 2015 is going to look vastly different without QE.
With the Fed’s balance sheet and zeroed interest […]

On Its 100th Birthday, the Fed Gives the World Another Stock Market …

So the Fed kept filling up the punch bowl and instead of going into inflation of goods prices, it went into an inflation of asset prices. That’s inflation in the same way, but it’s not called inflation. So if the stock market goes up and doubles, we don’t say, ‘Oh, my God—there’s been inflation!’ Or, if housing prices double, we […]