Posted on 09/18/2013 11:13:08 AM PDT by Hojczyk
Edited on 09/18/2013 11:17:36 AM PDT by Admin Moderator. [history]
An economy still stumbling toward recovery was not enough to sway the Federal Reserve, which defied market expectations Wednesday and said it will not begin pulling back on its monthly asset-purchasing program. Stocks surged on the news but bond yields were flat.
(Excerpt) Read more at cnbc.com ...
More air into the balloon.
Makes a bigger noise when it pops.
amazed at this, really.
I had absolutely expected them to announce a tapering, and not even such a small one.
“This is incredibly wimpy,” David Kelly, chief market strategist at Morgan Stanley, told CNBC.
The Fed said it was unsatisfied with the pace of economic growth and felt the timing was not right to make a change in quantitative easing.
This is not going to end well.
I recall watching FMOC during the dot com bubble, and being thrilled with the decision (cant remember if it was increased rates or lower rates) and watching the dot coms shoot up 5% in a couple of minutes.
That ended well, didn’t it.
$85 BILLION created every month, out of thin air, and used to purchase stocks in order to maintain the illusion that the market is doing well -
with the intent of keeping real money, yours, in the market.
THEY know when the music is going to stop - you don’t.
DJIA to 20,000 by the 2014 election.
Gold and stocks shoot up, treasury yields tank.
Wonder how many ordinary people know what “asset purchasing” means. For that matter, how many people know what “bond buying” means?
They mean borrowing of course and these activities should always be called ‘borrowing’ when the audience is ordinary people.
More QE4Ever....
It’s tough to get a crack addict to stop taking the drug, when the crash it would cause is so bad.
And, if you don’t like giving the Big, Obama-supporting New York Bankers $87 Billion a month in free cash for eternity, YOU MUSS BE A RASSISS! (or one of those crazy conservative Christian-types)
Hey, once the real rate of inflation has to be recognized the Dow should go straight to 100,000. Now 100,000 units of the Dow will still buy the same amount of gasoline or potatoes as 15,000 units do today, but at least St. Barack will get to feel good about himself. :)
It certainly turned the equities market around. Must be like meth.
TC
A whole lot of people are going to have their asses handed to them...again. The markets have gone full retard...again.
Things are not getting better, no matter how much they manipulate the markets, and the sycophantic media praises Obama.
More and more people are dropping into poverty, every day, yet if you note that, you must be CRAZY!!, or a racist.
It’s OUR fault, folks. We sat on our asses for decades and let the Radical Socialist Dems take control of the language, and this is our just desert.
One 401 is on full retard. The other is in cash. Who the hell knows what to do.
I just buy a little more silver each week.
Not sustainable. We are Argentina.
DJIA to 20,000 by the 2014 election.
Kinda meaningless, cause the dollar’s in collapse mode now.
Congress has abdicated its responsibility to “coin money and regulate the value thereof...”
How anyone can keep money in that casino is beyond me. I was here years ago telling people that you can’t have a solid economy with a country of wedding planners and mortgage brokers. Me and those like me were lucky if we were only called gloom and doomers back then. Do people with 401k and IRA money in this market think these asset prices are reflectiong anything near reality now that we’ve gone from wedding planners and mortgage brokers to 29 hour a week fast food workers?
My companies 401k rep was just here yesterday. Boy he was pumping 401ks and the stock market.
No word of the govt taking over 401ks from him of course.
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