Anyone know when QE3 will get announced?

[Bowgett]

Quote from Tsing Tao:

Perhaps, but it's because the banks are keeping all that money in reserves at the Fed for interest. If they ever release that massive amount into the economy, God help us when inflation hits.

and how are they going to release it? They need to find borrowers and many of them are unemployed.

 

[Tsing Tao]

So you think the fact that Banks are keeping all these dollars at the Fed is because they can't find someone to lend to???

 

[Martinghoul]

Quote from Tsing Tao:
Perhaps, but it's because the banks are keeping all that money in reserves at the Fed for interest. If they ever release that massive amount into the economy, God help us when inflation hits.

Well, sure, and it might get really really cold if ever Hell freezes over...

Quote from Tsing Tao:
So you think the fact that Banks are keeping all these dollars at the Fed is because they can't find someone to lend to???

And yes, the problem, at least for the moment, is demand, as you can see from, for example, the NFIB index constituents.

 

[Bowgett]

Quote from Tsing Tao:

So you think the fact that Banks are keeping all these dollars at the Fed is because they can't find someone to lend to???

Yup. Borrow at the Fed at close to 0% and lend it to US Gov at 3%. Not a bad deal.

 

[Martinghoul]

I forgot the chart I meant to attach... Quick and dirty, as I didn't have time to look for the most appropriate indices. Yellow is the NFIB "expansion" index, white is the NFIB "availability of loans" index.

This is the website: http://www.nfib.com/research-foundation

 

[Martinghoul]

Quote from Bowgett:
Yup. Borrow at the Fed at close to 0% and lend it to US Gov at 3%. Not a bad deal.

Excess reserves at the Fed don't earn 3%, but rather 0.25%.

 

[limitdown]

QE3 should be WPA-III (works public administration)

pity that:

• corporations have done all they could to humiliate and not support this presidency
• everything possible has been done NOT to hire, tens of thousands, and allow US Citizens to get back on the bandwagon
• every attemp at shovel ready or infrastructure rebuilding is being bad mouthed as Socialism
• other so called "elites" have set the verbal agenda of debt reduction, when their policies created the problem
• there's no sense of united we are

its not that we as traders and citizens are idealistic, but, that's human nature, and what brought this country through 3 world wars since 1900....

its not that we as traders and citizens wouldn't benefit, but you can't fix what the public refuses to admit what broke, and just hope that throwing billions at the wall will repair

yeah,

when is QE3 coming out?

and this time, it won't matter who's in the presidency, whether dumb and dumber (not a typo, but that's how he spells it), or,
holier than holier,

neither got it right so far....

 

[Blotto]

What is this QE3 I keep hearing about? A new ocean liner, the RMS Queen Elizabeth 3?

 

[morganist]

Quote from Blotto:

What is this QE3 I keep hearing about? A new ocean liner, the RMS Queen Elizabeth 3?

I guess you are joking?

QE standards for Quantitative Easing. A debasement of currency.

 

[TGregg]

Quote from noob_trad3r:

Will it be the next meeting?

Benji announces in August in Jackson Hole.

But it won't be called QE3.

Don't forget, Helio Benji is of that group that thinks the Great Depression double dipped because we stopped spending, and believes that if we had only borrowed and spent enough we would have crawled out of it earlier. I think he honestly believes that if they just spend enough money (sacrifice enough blood on the altar in Rand terms), we will get through this. If this is true, then he's going to do his level best to pull out even more of this sort of thing if things get rough as QE2 winds down.