If the second half of 2011 was characterized by rampant stock market volatility and looming uncertainty, the atmosphere on Wall Street could be described as the exact opposite thus far in 2012. Economic data releases on the home front have taken center stage in recent months as better-than-expected results from the labor and housing markets have helped to restore confidence back in the recovery. Underneath the growing euphoria, however, lies an ugly truth; monetary stimulus from the Federal Reserve has been a major driver of equity market appreciation, which could point to troublesome times ahead as the latest quantitative easing program nears an end [see also Doomsday Special: 7 Hard Assets You Can Hold In Your Hand]. Ben Bernanke embarked on the latest round of stimulus back in September of 2011 with the start of “Operation Twist”. This cleverly titled program consists of the Fed buying $400 billion of longer-dated Treasuries and selling ones with remaining [...] Click here to read the original article on ETFdb.com. Related Posts: How To Hedge For A Market Correction With ETFs AdvisorShares Rolls Out SectorSAM ETF (SSAM) 2011: A Year Of ETF Firsts ETF Insider: High Hopes, Big Gains UBS Launches Risk On / Risk Off ETNs
If the second half of 2011 was characterized by rampant stock market volatility and looming uncertainty, the atmosphere on Wall Street could be described as the exact opposite thus far in 2012. Economic data releases on the home front have taken center stage in recent months as better-than-expected results from the labor and housing markets have helped to restore confidence back in the recovery. Underneath the growing euphoria, however, lies an ugly truth; monetary stimulus from the Federal Reserve has been a major driver of equity market appreciation, which could point to troublesome times ahead as the latest quantitative easing program nears an end [see also Doomsday Special: 7 Hard Assets You Can Hold In Your Hand]. Ben Bernanke embarked on the latest round of stimulus back in September of 2011 with the start of “Operation Twist”. This cleverly titled program consists of the Fed buying $400 billion of longer-dated Treasuries and selling ones with remaining [...]
Click here to read the original article on ETFdb.com.
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