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View Full Version : Economics LOL, this just in from the Fed Reserve....


mlyonsd
08-09-2011, 01:43 PM
Fed to keep interest rate near zero for 2 years

By Martin Crutsinger, Associated Press

Updated<SCRIPT type=text/javascript>document.write(niceDate('8/9/2011 2:35 PM'));</SCRIPT> 4m ago

WASHINGTON The Federal Reserve says it will likely keep interest rates at record lows for the next two years after acknowledging that the economy is weaker than it had thought with increasing risks.

The Fed announced that it expects to keep its key interest rate near zero through mid-2013. It has been at that record low since December 2008. The Fed had previously only said that it would keep it low for "an extended period."

The more explicit time frame is aimed at calming nervous investors, giving them a clearer picture of how long they will be able to obtain ultra-cheap credit.

http://www.usatoday.com/money/economy/2011-08-09-fed-to-keep-rates-low_n.htm

ROFL Glad they figured it out.

ROYC75
08-09-2011, 01:47 PM
Gee, Whatever gave them that idea?

mlyonsd
08-09-2011, 01:54 PM
Gee, Whatever gave them that idea?It just struck me funny when I read it.

You couldn't pick out a bigger bunch of clowns at a circus.

King_Chief_Fan
08-09-2011, 02:06 PM
nothing like seeing an up tick of 222.3 points in the market only to be reversed and be down 100 and falling due to the ignorant ramblings

King_Chief_Fan
08-09-2011, 02:23 PM
nothing like seeing an up tick of 222.3 points in the market only to be reversed and be down 100 and falling due to the ignorant ramblings

well looky there back up to +100........what a see saw

eazyb81
08-09-2011, 03:00 PM
Finishes up over 400 points, and why not, the Fed will continue to inflate the price of stocks for the foreseeable future.

LOCOChief
08-09-2011, 03:34 PM
This was a small ray of sunshine in an otherwise gloomy week. The announcements was on time.

Stewie
08-09-2011, 03:42 PM
I'm suspicious that there's more to this meeting than the press release. Of course, the meeting minutes won't be released for three weeks, so insiders have time to position themselves.

talastan
08-09-2011, 03:45 PM
I'm suspicious that there's more to this meeting than the press release. Of course, the meeting minutes won't be released for three weeks, so insiders have time to position themselves.

QE 3 is probably being planned right now. WAY TO GO BEN!!! :thumb: :Lin:

Chief Henry
08-09-2011, 04:41 PM
www.governmentgonewild.org

eazyb81
08-09-2011, 05:46 PM
QE 3 is probably being planned right now. WAY TO GO BEN!!! :thumb: :Lin:

No probably about it. Here's a clip from the press release:

To promote the ongoing economic recovery and to help ensure that inflation, over time, is at levels consistent with its mandate, the Committee decided today to keep the target range for the federal funds rate at 0 to 1/4 percent. The Committee currently anticipates that economic conditions--including low rates of resource utilization and a subdued outlook for inflation over the medium run--are likely to warrant exceptionally low levels for the federal funds rate at least through mid-2013.

petegz28
08-09-2011, 07:17 PM
Bernanke has been wrong at every turn. The guy is ****ing clueless. I am glad they finally caught on to what we all know, that the economy isn't as strong as they wanted it to be. GEE! What a fucking revelation this guy had!

banyon
08-09-2011, 07:24 PM
No probably about it. Here's a clip from the press release:

You think that QE 3 is in that quote?

Molitoth
08-09-2011, 09:19 PM
Fed Reserve thinks to themselves; "We are making too many trillions of dollars, they are gonna catch on soon; we better do something."

eazyb81
08-10-2011, 07:32 AM
You think that QE 3 is in that quote?

Definitely.

eazyb81
08-10-2011, 08:09 AM
http://finance.yahoo.com/news/Goldman-says-QE3-likely-after-rb-2357783335.html?x=0&sec=topStories&pos=7&asset=&ccode=

SINGAPORE (Reuters) - Goldman Sachs said on Wednesday a third round of quantitative easing from the Federal Reserve is likely after the U.S. Federal Reserve promised to keep rates at extraordinarily low levels for at least two more years.

"We now see a greater-than-even chance that the FOMC will resume quantitative easing later this year or in early 2012. We have changed our call because today's statement suggests that the committee's reaction function to incoming economic news is more dovish than we had previously thought," Jan Hatzius, chief economist at the firm, said in a note.

The explicit commitment to keep policy rates low through mid-2013 and a bias to easing policy further were more aggressive than expected and resulted in Goldman penciling in QE3 after the previous $600 billion bond-purchase program ended in June.

Hatzius said he thought the fact that Fed Chairman Ben Bernanke went ahead with a promise to keep rates low within a specific time frame despite three dissents in the policy-setting committee was a sign the rest of the central bank believe renewed easing is important.

Calcountry
08-10-2011, 03:06 PM
You think that QE 3 is in that quote?Oh yeah, hey there, Banyon. How are your investments doing? Why don't you bump that thread you had from a couple years ago?