“We’ve been running the stimulus programs like an infomercial,” says Kevin Warsh, Hoover Institution, discussing how the Fed’s asset-buying program will impact investors and the markets and U.S. economy. Here is a direct link.
Yesterday Fed Chair Bernanke stated that the Fed would continue to offer quantitative easing until the unemployment rate comes down. As shown in the chart below that there is no evidence that any of their mammoth efforts to date (QE1, 2, Twist) have had any positive effect on employment. There is no reason to expect that this next tranche of recycled bonds will have an effect where previous trillions have not.
“If I were Bernanke for sure I would resign after having messed up the US and as badly as Mr Bernanke and Mr Greenspan have done over the last fifteen years,” says Marc Faber, managing director and editor of The Gloom Boom and Doom report. Here is a direct link.
