Now we know why the market surged.

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#1 Tue, Jun 21, 2011 - 1:08pm
Shill
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Now we know why the market surged.

Edited by: Shill on Nov 8, 2014 - 5:06am
Tue, Jun 21, 2011 - 1:18pm
Shill
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FIXED LINK

And I will strike down upon thee with great vengeance and furious anger those who attempt to poison and destroy my brothers.
Tue, Jun 21, 2011 - 1:20pm
Dr Durden
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Subject

https://www.bloomberg.com/news/2011-06-21/bernanke-may-try-to-spur-u-s-economic-growth-by-extending-record-stimulus.html

Just to be clear, Ben hasn't said anything yet...

Quote:

The central bank has said it will complete $600 billion in bond purchases, known as QE2 for the second round of quantitative easing, by the end of this month. Sixty-nine percent of economists in the survey say that a third round of bond buying is “very unlikely,” and an additional 24 percent say it is “somewhat unlikely"

I'd love to see who exactly these "economists" are. Seems TPTB will do anything to get a little rally before it finally shits the bed. 

Got GIABO? "It's called the American dream, because you have to be asleep to believe it." ~George Carlin
Tue, Jun 21, 2011 - 1:22pm
davefess
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starting to comeback to reality

markets are moving down...not sure if it is technical or not, but I think the finality of QE2 and Greece may not be a done deal yet is starting to hamper the enthusiasm.

"it's game over man, game over!"
Tue, Jun 21, 2011 - 1:24pm (Reply to #4)
Captain Silver
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Interest rates

Just read on the wire that Fed may remove the "extended perio of time" part of the statement about interest rate targets.

Our monetary system has been hijacked by morons! Abandon ship!!!!
Tue, Jun 21, 2011 - 1:31pm
agauinvest
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Darn

I was thinking this was about extending QE - really it's just talking about keeping the balance sheet constant at the current high level, and it's only economists, and nobody at the Fed, who say this. It would be a markets disaster to try to shrink the balance sheet much before or during fall, so not earth shattering, IMO.

Tue, Jun 21, 2011 - 1:34pm
Captain Silver
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@Shill

If I haven't said it yet, Nice avatar!

Our monetary system has been hijacked by morons! Abandon ship!!!!
Tue, Jun 21, 2011 - 1:36pm (Reply to #5)
Jake
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The Bernank May Try to "Spur the Economy"---LOL!

Captain Silver wrote:

Just read on the wire that Fed may remove the "extended perio of time" part of the statement about interest rate targets.

https://www.bloomberg.com/news/2011-06-21/bernanke-may-try-to-spur-u-s-e...

Your Silver--I Want to Buy it! Sell Me Your Silver!
Tue, Jun 21, 2011 - 1:42pm (Reply to #8)
Captain Silver
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Who the hell knows

Who knows what they're going to do. Haven't seen any really convincing front running this time.

Scary quote of the day goes to Greenlaw at Morgan Stanley "The Fed is not out of bullets yet."

Our monetary system has been hijacked by morons! Abandon ship!!!!
Tue, Jun 21, 2011 - 1:48pm (Reply to #9)
davefess
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that is scary!

What else do they have besides Operation Twist? Interest rates are at .25%, can't do QE3 or it's political suicide, bank reserves interest rates are at .25% too.

"it's game over man, game over!"
Tue, Jun 21, 2011 - 2:18pm (Reply to #10)
Jake
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Tee it Up!

davefess wrote:

What else do they have besides Operation Twist? Interest rates are at .25%, can't do QE3 or it's political suicide, bank reserves interest rates are at .25% too.

Raise the Debt Ceiling---LOL!

Tiny Tim has until Aug 2nd. They'll probably vote to increase it enough to allow TPTB to continue this insanity through 2012 election. By my calculations, they'll need to raise it to $15.35 Trillion. That will allow The Ben Bernank to retire as he knows he'll not be re-appointed. Rumor was that Tiny Tim has already inferred that he'll quit once the debt ceiling is raised in August. This will allow Obama to campaign and play more golf.

Your Silver--I Want to Buy it! Sell Me Your Silver!
Tue, Jun 21, 2011 - 2:24pm (Reply to #11)
davefess
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LOL

Very funny! Do you think there are going to be buyers of US debt?

"it's game over man, game over!"
Tue, Jun 21, 2011 - 2:29pm (Reply to #11)
Captain Silver
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Already talked about "Transitory `" Debt ceiling increase

Can't find the article, but read something yesterday where some republocrats were talking about a transitory debt ceiling increase of $300bn to get them to September. Yeah, like it would make it that far I know I know, but I think the debt ceiling limit increase, and how quickly it gets pushed may give us an indication of timing for QE3.

Of course that is another interesting side to this, with sovereigns dropping US debt like hot potatoes, another 600bn QE may not get very far as far as funding the UST is concerned. QE transfer to foreign nations has a LONG way to go before they'll actually be free to fund US government activities if the indirect bids at the bond auctions go tits up. So they can raise the ceiling as high as they want, but I thinking that the endgame is getting close and they may not be able to print fast enough to suck in the tsunami of treasuries. One day the US debt demand will die like someone hit a switch.

Our monetary system has been hijacked by morons! Abandon ship!!!!
Tue, Jun 21, 2011 - 2:29pm (Reply to #12)
Jake
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This Guy Might!

Become a Trillionaire Overnight!

SELL YOUR SILVER BULLION AND BUY ZIMBABWE BANKNOTES
Your Silver--I Want to Buy it! Sell Me Your Silver!
Tue, Jun 21, 2011 - 2:30pm (Reply to #14)
Captain Silver
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Now that's whacked!

Wow....

Our monetary system has been hijacked by morons! Abandon ship!!!!
Tue, Jun 21, 2011 - 2:43pm (Reply to #13)
Jake
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Could be Getting Switchy

Captain Silver wrote:

One day the US debt demand will die like someone hit a switch.

you will then get "Roll Over"

Rollover 1981... world economic collapse
Your Silver--I Want to Buy it! Sell Me Your Silver!
Tue, Jun 21, 2011 - 2:52pm (Reply to #16)
Captain Silver
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Well you know it's coming....

"Then they'll go to selling gold." - We'll have to wait and see if they've got any left!

I've never watched Rollover straight through. Maybe it's a good day for a movie night.

Our monetary system has been hijacked by morons! Abandon ship!!!!
Tue, Jun 21, 2011 - 2:57pm (Reply to #17)
Jake
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HEY BARTENDER!

Captain Silver wrote:

"Then they'll go to selling gold." - We'll have to wait and see if they've got any left!I've never watched Rollover straight through. Maybe it's a good day for a movie night.

If You Can't Get That, You could watch this:

Blues Brothers - Hey Bartender
Your Silver--I Want to Buy it! Sell Me Your Silver!