Seeking Alpha

"I think it may be reasonable to send a signal to markets that we’re going to start...

"I think it may be reasonable to send a signal to markets that we’re going to start withdrawing our stimulus," says St. Louis Fed President Bullard, calling for an early end to QEII. Bullard is the 3rd Fed member (Fisher, Plosser) in a few days to signal easy money needs to end soon. Unlike the others, Bullard is not a voter on the FOMC.
Comments (17)
  • woollyB
    , contributor
    Comments (1019) | Send Message
    If the Fed sends a signal about withdrawing stimulus, it'll only be to alarm everyone and thereby create an excuse for further QE. There is zero chance Bernanke voluntarily walks away from QE.
    27 Mar 2011, 09:34 AM Reply Like
  • The Geoffster
    , contributor
    Comments (4254) | Send Message
    " Unlike the others, Bullard is not a voter on the FOMC."
    Well then, never mind.
    27 Mar 2011, 09:51 AM Reply Like
  • MarketGuy
    , contributor
    Comments (3983) | Send Message
    Too late...Goldman and other TBTF's already said it's coming...and we all know that's who's in charge
    27 Mar 2011, 09:58 AM Reply Like
  • apberusdisvet
    , contributor
    Comments (3009) | Send Message
    No more QE, whether overt or covert, especially with no sustainable economic recovery, means an automatic market correction of 40%, and the beginning of the end game of the true FED agenda which has never been for the American people.


    If you don't think that this is a possibility, please tell me what 3rd parties will be left to buy our debt to sustain the Ponzi. Certainly not domestic funds (PIMCO), nor the Chinese nor members of the Eurozone. Japan, once a stalwart buyer, will now have to repatriate its holdings to address its own severe economic problems.


    Be very careful folks; the "potential" for disaster is very real.
    27 Mar 2011, 10:03 AM Reply Like
  • Stoploss
    , contributor
    Comments (1727) | Send Message
    Prepare to be bombarded by the unicorn brigade.
    27 Mar 2011, 12:07 PM Reply Like
  • surfgeezer
    , contributor
    Comments (8375) | Send Message
    There is a dis connect with your comment. The article is about part of the FED saying the recovery is picking up steam, and earnings reflect that, so they are starting to talk about easing back on stimulus. Your comment ignores that.
    3rd parties buiy our debt for many reasons, with currency movements at the top for governments. If they wish to have their products more expensive here they can stop, but why would they want to do that to the largest consumer in the world?
    27 Mar 2011, 12:17 PM Reply Like
    , contributor
    Comments (15) | Send Message
    Why not, China has been matching QE, so both sides of the equation have remained equal. They’ll be buying.
    27 Mar 2011, 02:10 PM Reply Like
  • nobby73
    , contributor
    Comments (1177) | Send Message
    US Q4 profits before tax fall 2.6% on the quarter. Maybe the top is in, and margin compression is real?

    27 Mar 2011, 04:13 PM Reply Like
  • berated
    , contributor
    Comments (389) | Send Message
    Trying hard not to be skeptical--wouldn't it be easy enough to continue QE efforts 'undercover' or in some other stealthy way? This would allow the Fed to 'act' tough, yet continue the rediculiquidity....
    27 Mar 2011, 10:10 AM Reply Like
  • Ken Hasner
    , contributor
    Comments (425) | Send Message
    You win the prize of the week....of course QEII is only the public part we know about. There has always been and always will be areas the FED can play in that we can't see. That is why Ron Paul has advocated for a full audit which the FED has resisted so far. We don't really know what they are doing......
    27 Mar 2011, 10:22 AM Reply Like
  • MarketGuy
    , contributor
    Comments (3983) | Send Message
    Bingo! Just look at the "other assets" portion of the Fed's balance sheet and you'll see mystery fund amounts larger than most country's GDP's.


    Audit the Fed, Reclaim America!
    27 Mar 2011, 10:53 AM Reply Like
  • Ken Hasner
    , contributor
    Comments (425) | Send Message
    Wow -14 thumbs down ! The FED officials must just be getting back from a weekend junket and checking
    27 Mar 2011, 08:08 PM Reply Like
  • D. McHattie
    , contributor
    Comments (1845) | Send Message
    This seems to be little more than jaw-boning.


    I believe the Fed and its cronies are getting desperate. Last week the CME increased the margin requirements on silver and gold, yet again.


    And now they're jaw-boning.


    QE3 is a lock.
    27 Mar 2011, 12:39 PM Reply Like
  • realornot
    , contributor
    Comments (1281) | Send Message
    Ben will play QE2 to the end. No point to withdraw it. Ben has all the QE chips on the poker table. Why fold his hands when it is still in play?
    It is time to look at outside countries funds. Japan for sure and China too. Middle-East play is a good one after all dust settled.
    27 Mar 2011, 02:29 PM Reply Like
  • valueinvestor123
    , contributor
    Comments (327) | Send Message
    Ben and the FED will do whatever GS, JPM, and other big banks want them to do. They have no real interest in what is best for 99% of the population.
    27 Mar 2011, 07:11 PM Reply Like
  • youngman442002
    , contributor
    Comments (5129) | Send Message
    What the are saying is correct..QE II will end...But QE III will they REALLY are not lying
    27 Mar 2011, 07:26 PM Reply Like
  • Dopamine
    , contributor
    Comments (363) | Send Message
    I too am interested in the Fed media show.
    Whats more interesting is that Housing Starts from earlier in the month are still very low, unemployment, the lagging indicator, is going to get worse, not better. Whatever the Fed does, isnt going to help too much with the coming storm. Taxes are what are needed to increase business,better tax programs that dont get repealed in the next administration, or the next. The Fed is a media circus.
    28 Mar 2011, 02:35 AM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs