Its Official: Federal Reserve Plans on Launching QE3, Flooding the Market with More Monopoly Money
QE3 would prove itself nothing more than a band-aid upon the ugly gash that is the U.S. economy.
Quantitative easing is essentially the injection of funny-money in to the marketplace which can serve no other purpose but to devalue the dollar’s worth and to drive prices through the roof.
If QE3 becomes reality, say good bye to the dollar’s standing as the world’s leading reserve currency. With the rate at which this insanity is occurring, I’m willing to bet dollars to pesos that QE4 and perhaps even QE5 will ultimately come to pass.
-Grant J. Kidney
Reuters — Another month of weaker-than-expected U.S. hiring has increased the chances of the Federal Reserve launching a new round of monetary stimulus to boost growth, a Reuters poll of Wall Street economists showed.
The median of forecasts from 16 primary dealers – the large financial institutions that do business directly with the Fed – showed a 70 percent chance the central bank will for the third time expand its balance sheet via large-scale bond purchases.
The poll was conducted on Friday after the government said employers added 80,000 new jobs last month, short of market forecasts. The jobless rate stood at 8.2 percent.