Euphoria hit Wall Street as the Federal Reserve announced its third round of quantitative easing to bolster the sluggish economy. In the new “open-ended” plan, the central bank will buy $40 billion of mortgage debt each month and continue to purchase assets. Bernanke set no end date to this program, indicating that those purchases could be potentially extended if the labor market does not improve. In addition, the Fed also extended its existing “Operation Twist”, keeping short-term interest rates near zero until at least mid-2015. Despite investors’ relief, Bernanke was adamant that these unprecedented measures will not be the end all be all to our nation’s economic problems. Instead he states that “We’re not promising a cure to all these ills, but what we can do is provide some support.” And looking at today’s market response, it is clear that investors are seemingly satisfied with Ben’s response [see also ETF [...] Click here to read the original article on ETFdb.com. Related Posts: Gold ETFs In 2012: The Good, The Bad, And The Ugly Seven Surprisingly Large ETFs Direxion’s 2x ETFs Becoming 3x ETFs Diamonds In The Rough: Ten Of Our Favorite ETFs With AUM Under $25 Million Gold ETF Options For Risk Tolerant Investors
Euphoria hit Wall Street as the Federal Reserve announced its third round of quantitative easing to bolster the sluggish economy. In the new “open-ended” plan, the central bank will buy $40 billion of mortgage debt each month and continue to purchase assets. Bernanke set no end date to this program, indicating that those purchases could be potentially extended if the labor market does not improve. In addition, the Fed also extended its existing “Operation Twist”, keeping short-term interest rates near zero until at least mid-2015. Despite investors’ relief, Bernanke was adamant that these unprecedented measures will not be the end all be all to our nation’s economic problems. Instead he states that “We’re not promising a cure to all these ills, but what we can do is provide some support.” And looking at today’s market response, it is clear that investors are seemingly satisfied with Ben’s response [see also ETF [...]
Click here to read the original article on ETFdb.com.
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