More from St. Louis Fed's Jim Bullard: He suggests a tapering of the Fed's QE as soon as...

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Macro Investor Comments (5770)
 
Someone needs to teach Bullard some math. That means QE stops when UE is at 7.2%. The target is 6.5%.
14 Feb, 03:34 PM Reply Like

Michael Parmar Comments (184)
 

6.5% Unemployment rates is linked to interest rates not QE.

And I had said the thinking is to taper QE.

http://seekingalpha.co...
15 Feb, 01:40 AM Reply Like

Macro Investor Comments (5770)
 
Michael, you are wrong. The QE will continue till unemployment is at 6.5% or below. You always do a full course of antibiotics. You do not lowr the dosage when the symptoms imrove just a notch. That's just bad medicine.
15 Feb, 08:49 AM Reply Like

youngman442002 Comments (4973)
 
Well that is why gold is down today....lol....NOT

I think they should stop it all right now
14 Feb, 03:39 PM Reply Like

WMARKW Comments (8373)
 
What makes Bullard think that QE either helps or hurts unemployment?
14 Feb, 03:50 PM Reply Like

winningtrader Comments (2264)
 
This is just a part of the good cop bad cop strategy. He doesn't mean anything ... just likes to make some noise.
14 Feb, 04:37 PM Reply Like

jhooper Comments (4662)
 
This feels like jawboning to keep commodity prices down (like gold).
14 Feb, 04:40 PM Reply Like

mickmars Comments (1085)
 
"Tapering off QE"... that's funny stuff.

Remember when they used to talk about raising short term rates a couple of years ago? Yeah, that joke got old.
14 Feb, 04:48 PM Reply Like

Whitehawk Comments (2778)
 
The drop in the UE rate has been inconsistent with the low GDP gains. Participation rate has been steadily declining. We have structural problems, not demand problems. Kill the QE, and fix the structural problems. Start soon.
14 Feb, 06:19 PM Reply Like

Whitehawk Comments (2778)
 
"The lesson from QE2 is that inflation and inflation expectations did trend higher."

Gotta love this one though:

"The Fed’s balance sheet relative to GDP is not as large as some other key central banks."

And this is the punchline:

"when interest rates rise, asset values will fall, possibly complicating monetary policy decisions."
14 Feb, 06:23 PM Reply Like

ron284 Comments (188)
 
This fed administration should end up in the same retirement home as Greenspan belongs in. Thanks fella's it's been some decade +.
14 Feb, 07:52 PM Reply Like

Interesting Times Comments (3269)
 
Just keep on buying physical!!! They are all running around like loose rats now, making no sense whatsoever...

Comical!! The end game for the stock market is upon us !
14 Feb, 08:27 PM Reply Like

divinecomedy Comments (422)
 
I wonder what's so magical about 6.5%. Why is it ok to buy until UE reaches that number, why not do it till it's 5.5% or some other number? Also will UE creep up again if interest rate starts going up? If the Fed claims that QE helps keep down unemployment does that mean we'll need infinite QE?

Too much thinking there, just buy!!!
15 Feb, 04:31 AM Reply Like

Macro Investor Comments (5770)
 
Read up on NAIRU and then you will understand. 6.5% is the UE rate at which inflation is still supposed to be tame. Anything below that and inflation rises.
15 Feb, 08:50 AM Reply Like