Tag Archive: Ben Bernanke

  1. Quantitative Easing Exit Begins At Last

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    2013 came to a close with the US Federal Reserve finally putting investment markets out of their misery.

    When Ben Bernanke, the chairman of the US Federal Reserve, started talking about the tapering of quantitative easing (QE) last May, the markets reacted badly. It was not that anyone expected bond buying by the US central bank to carry on buying government and mortgage-backed bonds at the rate of $85bn a month for ever, it was just that there were serious doubts about what an end to QE would bring. May’s speech suggested the taper would start in September, but it was put on hold, allegedly because of concerns about the budgetary battles on Capitol Hill. That was another surprise, but not an unsettling one. (more…)

  2. The Markets

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    Baseball great Yogi Berra once said, “In theory there is no difference between theory and practice. In practice there is.” He may have been on to something.

    Last May, Fed Chairman Ben Bernanke introduced the idea the Fed’s economic stimulus program, known as Quantitative Easing (QE), might be ratcheted down sooner rather than later. The concept, that easy money – the Fed has injected about $2.75 trillion into financial markets during the past five years – could soon be behind us, threw global markets into a tizzy.  (more…)