While cautioning that the economy still needs the central bank’s support, Yellen stated that the nation’s economic recovery will be nearing completion within two years.
The end of today’s Federal Open Market Committee (FOMC) meeting included fresh dovish language in its policy statement – but the market-friendly attitude failed to excite investors who were hoping for more.
As widely expected, the U.S. Federal Reserve announced it will stay the course on its bond tapering. Anticipated – but not as expected – the policy statement shed some light on eventual interest rate hikes.
The House of Representative passed a one-year extension to the United States’ debt limit on Tuesday evening.
The release of the December FOMC meeting minutes makes clear one thing: the U.S. Federal Reserve does not have a plan for the course of the stimulus reduction it announced last month.
Last Wednesday afternoon, after much gnashing of teeth, the Fed finally revealed its long-awaited quantitative easing (QE) taper plans…
And the Dow jumped by almost 300 points.
At the Fed meeting today, the U.S. Federal Reserve announced that it will begin tapering its bond-buying program by $10 billion per month starting in January. The policy, which was designed to recharge economic growth, will be scaled back to $75 billion per month from $85 billion per month.
Fed-watchers are pretty sure they know what the word on a Fed taper will be when the official announcement comes following the Federal Open Market Committee (FOMC) meeting today and tomorrow (Wednesday)…
There’s a very dangerous meme making the rounds.
It goes something like this:
The economy is improving, therefore the Fed’s going to taper… and, when it does, the economy is strong enough to endure the withdrawals that will come with it.
Don’t fall for it.
On December 23rd, the Federal Reserve will turn 100 years old.
We can look back on its few successes… but its many failures far outweigh any positives it may have achieved.
What’s at stake now is the Fed’s future. And it looks bleak.
Let’s talk about the so-called Volcker Rule.
When the Dodd-Frank Act was signed into law in 2010 – the bank-busting, save the system, “we’ll never again have a financial meltdown that could destroy the world” legislation – it was more of an outline.